Refer to the table below.              Quantity Cost (in dollars) Fixed Costs (in dollars) Total Costs (in dollars) Average Total Costs (in dollars per unit) Average Variable Costs (in dollars per unit) Marginal Costs (in dollars per unit) 0 0 40 40 – – – – – – 1 15 40 55 55 15 15 2 35 40 75 37.5 17.5 20 3 60 40 100 33.3 20 25 4 90 40 130 32.5 22.5 30 5 125 40 165 33 25 35 6 160 40 200 33.3 26.6 40   If the firm produces 5 units that it sells for $39.00 each, what will its profits or losses equal?

When a firm is continuing to produce when price is below ATC but above AVC, it is seeking to: 

Read the scenario and enter you answer as a whole number with proper positive/negative annotation.  Linda sells 100 bottles of homemade ketchup for $10 each. The cost of the ingredients, the bottles, and the labels was $700. In addition, it took her 20 hours to make the ketchup, and to do so she took time off from a job that paid her $20 per hour. Linda’s economic profit is?

Tomatoes cost Andy $3.50 per pound, and he has $10.00 that he could possibly spend on tomatoes or other items. Suppose he feels that the first pound of tomatoes is worth $4.00, the second pound is worth $2.78, the third pound is worth $1.05, and all subsequent pounds are worth $0.30 per pound. How many pound of tomatoes will he purchase?  Enter your answer as a whole number.

The slope of the production possibility frontier is determined by the _________ of expanding production of one good, measured by how much of the other good would be lost.  

Enter your answer as a whole number. A firm will maximize revenue at a quantity of:

In order to calculate marginal cost, the change in ______________ is divided by the amount of change in quantity.  

Refer to the graph above. At Point A in the production possibilities graph shown above, the economy:  

Whatever the firm’s quantity of production, _____________ must exceed total costs if it is to earn a profit.  

Both Wisconsin and Illinois border Lake Michigan. The lake is becoming polluted and both states are deciding whether or not to clean it. If Wisconsin decides to clean the lake it will cost 1200 and generate social benefits of 1500 – however, Wisconsin will receive only 1100 of those social benefits while neighbor Illinois will receive the other 400. If Illinois cleans the lake, it will cost them 700 and generate social benefits of 900 – however, Illinois will receive only 600 of those benefits, Wisconsin will receive the remaining 300. If a state does not clean the lake, it experiences a cost of $0. In the absence of any agreement, the outcome of this game will be: