How do you construct a table showing the marginal cost of
paper cup productions?
Price/Output Determination
Cold Case, Inc., produces beverage containers used by fast
food franchises. This is a perfectly competitive market. The following relation
exists between the firm’s beverage container output per hour and total
production costs:
Total Total
Output Cost
0 $ 35
1,000 85
2,000 145
3,000 215
4,000 295
5,000 385
6,000 485
7,000 610
A. Construct a table showing the marginal cost of paper cup
productions.
B. What is the minimum price necessary for the company to
supply one thousand cups?
C. How many cups would the company supply at industry prices
of $75 and $100 per thousand?
How do you construct a table showing the marginal cost of
paper cup productions?
Price/Output Determination
Cold Case, Inc., produces beverage containers used by fast
food franchises. This is a perfectly competitive market. The following relation
exists between the firm’s beverage container output per hour and total
production costs:
Total Total
Output Cost
0 $ 35
1,000 85
2,000 145
3,000 215
4,000 295
5,000 385
6,000 485
7,000 610
A. Construct a table showing the marginal cost of paper cup
productions.
B. What is the minimum price necessary for the company to
supply one thousand cups?
C. How many cups would the company supply at industry prices
of $75 and $100 per thousand?
How do you construct a table showing the marginal cost of
paper cup productions?
Price/Output Determination
Cold Case, Inc., produces beverage containers used by fast
food franchises. This is a perfectly competitive market. The following relation
exists between the firm’s beverage container output per hour and total
production costs:
Total Total
Output Cost
0 $ 35
1,000 85
2,000 145
3,000 215
4,000 295
5,000 385
6,000 485
7,000 610
A. Construct a table showing the marginal cost of paper cup
productions.
B. What is the minimum price necessary for the company to
supply one thousand cups?
C. How many cups would the company supply at industry prices
of $75 and $100 per thousand?
How do you construct a table showing the marginal cost of
paper cup productions?
Price/Output Determination
Cold Case, Inc., produces beverage containers used by fast
food franchises. This is a perfectly competitive market. The following relation
exists between the firm’s beverage container output per hour and total
production costs:
Total Total
Output Cost
0 $ 35
1,000 85
2,000 145
3,000 215
4,000 295
5,000 385
6,000 485
7,000 610
A. Construct a table showing the marginal cost of paper cup
productions.
B. What is the minimum price necessary for the company to
supply one thousand cups?
C. How many cups would the company supply at industry prices
of $75 and $100 per thousand?
