Sections
Test Prep For AP® Courses
Test Prep For AP® Courses
37.
What is the marginal cost of the third unit of output?
| Quantity | Total Revenue | Total Cost |
|---|---|---|
| 0 | $0 | $10 |
| 1 | $20 | $18 |
| 2 | $36 | $24 |
| 3 | $48 | $28 |
| 4 | $56 | $36 |
| 5 | $60 | $46 |
| 6 | $60 | $58 |
Table 7.8
- $4
- $10
- $28
- $48
- $60
38.
What is the average profit from selling four units of output?
| Quantity | Total Revenue | Total Cost |
|---|---|---|
| 0 | $0 | $10 |
| 1 | $20 | $18 |
| 2 | $36 | $24 |
| 3 | $48 | $28 |
| 4 | $56 | $36 |
| 5 | $60 | $46 |
| 6 | $60 | $58 |
Table 7.9
- $4
- $5
- $10
- $20
- $56
39.
Which of the following events can be classified as a firm experiencing diseconomies of scale?
- The firm’s total revenues begin to decline.
- The firm is operating at a point where long-run average costs are falling.
- The firm’s average total costs are constant.
- The firm is operating at a point where marginal costs are rising.
- The elasticity of demand for a firm’s product is –3.