Table 14-12
Bill's Birdhouses
-Refer to Table 14-12. What is Bill's economic profit at the profit-maximizing output level?
A)$25
B)$75
C)$115
D)$225

Question

Table 14-12
Bill's Birdhouses 
-Refer to Table 14-12. What is Bill's economic profit at the profit-maximizing output level?
A)$25 
B)$75 
C)$115 
D)$225

Quizplus · Accepted Answer

Bill's economic profit is the difference between his total revenue and his total cost. At the profit-maximizing output level, Bill's total revenue is $200 and his total cost is $85. Therefore, his economic profit is $200 - $85 = $115.

Table 14-12 Bill's Birdhouses