Table 4-3

-Refer to Table 4-3.The table above lists the marginal cost of cowboy hats by The Waco Kid, a firm that specializes in producing western wear.If the market price of cowboy hats is $50, how many hats will be produced?
A)0
B)1
C)2

Question

Table 4-3
 
-Refer to Table 4-3.The table above lists the marginal cost of cowboy hats by The Waco Kid, a firm that specializes in producing western wear.If the market price of cowboy hats is $50, how many hats will be produced?
A)0 
B)1 
C)2

Quizplus · Accepted Answer

The firm will produce hats as long as the marginal cost is less than or equal to the market price. If the marginal cost of the fourth hat is $50 or less, then four hats will be produced.

Table 4-3 -Refer to Table 4-3.The Table Above Lists the Marginal Cost