Fill This Form To Receive Instant Help
Fill This Form To Receive Instant Help
Homework answers / question archive / The table shows Jensen's output (sandwich) and costs, a perfectly competitive firm
The table shows Jensen's output (sandwich) and costs, a perfectly competitive firm. Jensen's fixed cost is $9 per hour. The current market price is $6. What is Jensen's marginal revenue from the 2nd sandwich sold?
a. $6
b. $12
c. $20
d. $24
e. $30
| Quantity | Total fixed costs TFC (dollars) | Total variable costs TVC (dollars) |
| 0 | 500 | 0 |
| 1 | 500 | 100 |
| 2 | 500 | 180 |
| 3 | 500 | 220 |
| 4 | 500 | 300 |
| 5 | 500 | 390 |
| 6 | 500 | 500 |
| 7 | 500 | 640 |
| 8 | 500 | 800 |
| 9 | 500 | 1000 |
| 10 | 500 | 1250 |
The correct answer is a. $6.
