At optimal output, calculate the profit, break even or loss.
Not what you're looking for?
Answer the question below on the basis of the following cost data for a purely competitive seller:
Total Product TFC TVC
0 $50 $0
1 50 70
2 50 120
3 50 150
4 50 220
5 50 300
6 50 390
If the product price is $60, at its optimal output will the firm realize an economic profit, break even, or incur an economic loss? How much will the profit or loss be? Show calculations.
Purchase this Solution
Solution Summary
This post shows how to calculate the profit and loss at optimal output.
Solution Preview
Total Product TFC TVC MC
0 $50 $0
1 50 70 70
2 ...
Purchase this Solution
Free BrainMass Quizzes
Balance Sheet
The Fundamental Classified Balance Sheet. What to know to make it easy.
Transformational Leadership
This quiz covers the topic of transformational leadership. Specifically, this quiz covers the theories proposed by James MacGregor Burns and Bernard Bass. Students familiar with transformational leadership should easily be able to answer the questions detailed below.
Understanding the Accounting Equation
These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.
Six Sigma for Process Improvement
A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.
Change and Resistance within Organizations
This quiz intended to help students understand change and resistance in organizations