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    Marginal Cost Question

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    Consider the following table.

    Quatitity Total cost
    0 $8
    3 9
    6 10
    9 11
    12 13
    15 19
    18 27
    21 37

    (1) Calculate marginal cost for each entry of the quantity in the above table.
    (2) Suppose that the price of the product is $2. How many units will the firm produce?
    (3) In the long run, will the price rise or fall from the current level at $2? Explain the reason.

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    https://brainmass.com/economics/price-levels/marginal-cost-question-495254

    Solution Summary

    The expert calculates marginal cost. The expert examines if the price is $2, how many units can the firm produce.

    $2.19