The graph below shows cost curves for a firm operating in a perfectly competitive market.
Graphing window shows horizontal axis: 0 to 8, vertical axis: 0 to 20. Start Graph, Color blue
Start Graph, Color red
Start Graph, Color green
| x | y |
|---|
| 1 | 17 |
| 2 | 11 |
| 3 | 10.333 |
| 4 | 12.5 |
| 5 | 17 |
| 6 | 23.667 |
Label "Quantity of Avocados" at pixel coordinates (175,0).Label "Price of Avocados" at pixel coordinates (0,170).
The green line shows
Average Total Costs (ATC)
Recall that AVC and ATC are U-shaped and that MC intersects with the ATC and AVC at the minumum (lowest) point.
The graph below shows cost curves for a firm operating in a perfectly competitive market.
Graphing window shows horizontal axis: 0 to 8, vertical axis: 0 to 26. Start Graph, Color blue
| x | y |
|---|
| 0 | 16 |
| 1 | 13 |
| 2 | 12 |
| 3 | 13 |
| 4 | 16 |
| 5 | 21 |
| 6 | 28 |
| 7 | 37 |
Start Graph, Color red
Start Graph, Color green
| x | y |
|---|
| 1 | 29 |
| 2 | 20 |
| 3 | 18.333 |
| 4 | 20 |
| 5 | 24.2 |
| 6 | 30.667 |
| 7 | 39.286 |
Label "Quantity of Pineapples" at pixel coordinates (175,0).Label "Price of Pineapples" at pixel coordinates (0,170).
The red line shows
Marginal Costs (MC)
Recall that AVC and ATC are U-shaped and that MC intersects with the ATC and AVC at the minumum (lowest) point.
The graph below shows cost curves for a firm operating in a perfectly competitive market.
Graphing window shows horizontal axis: 0 to 8, vertical axis: 0 to 22. Start Graph, Color blue
Start Graph, Color red
Start Graph, Color green
Label "Quantity of Pineapples" at pixel coordinates (175,0).Label "Price of Pineapples" at pixel coordinates (0,170).
The blue line shows
Average Variable Costs (AVC)
Recall that AVC and ATC are U-shaped and that MC intersects with the ATC and AVC at the minumum (lowest) point.
Box 1: Select the best answer
Box 2: Select the best answer
Box 3: Select the best answer