The table below displays cost information for a firm operating in a perfectly competitive market. Assume all firms in this market have identical costs. a. Fill in the missing values corresponding to the empty cells.QuantityTotal CostVariable CostMarginal CostAverage Variable Cost 1 $10A$102$38 $8 3$44$24B 4C$30 5 $38 $7.66$68DE87 $60 8 $74 FA = $ B = $ C = $ D = $ E = $ F = $ b. Calculate the lowest price the firm would need to be able to sell their goods for in order to remain open in the short run. Firm shuts down in short run if Price is less than $ c. Calculate the lowest price the firm would need to be able to sell their goods for in order to remain open in the long run. Firm exits in long run if Price is less than $

The total cost of the firm is divided by the fixed cost and the variable cost. variable cost changes…

Answered: The table below displays cost…

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter8: Perfect Competition

Section: Chapter Questions

Problem 41P: A computer company produces affordable, easy-to-use home computer systems and has fixed costs of...

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The table below displays cost information for a firm operating in a perfectly competitive market. Assume all firms in this market have identical costs.

a. Fill in the missing values corresponding to the empty cells.

Quantity	Total Cost	Variable Cost	Marginal Cost	Average Variable Cost
1		$10	A	$10
2	$38		$8
3	$44	$24	B
4	C	$30
5		$38		$7.6
6	$68	D	E	8
7		$60
8		$74		F

A = $ B = $ C = $

D = $ E = $ F = $

b. Calculate the lowest price the firm would need to be able to sell their goods for in order to remain open in the short run. Firm shuts down in short run if Price is less than $

c. Calculate the lowest price the firm would need to be able to sell their goods for in order to remain open in the long run. Firm exits in long run if Price is less than $

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