Refer to the table below. At what output level or levels are this firm's owners doing as well as or better than they could do with the next best use of their resources? $$\begin{array} { | r | r | r | r | }
\ { \text { Quantity } } & { \text { Total Revenue } } & \text { Explicit Casts } & \text { Implicit Casts } \
\hline 10 & 50 & 36 & 5 \
\hline 15 & 75 & 63 & 6 \
\hline 20 & 100 & 93 & 7 \
\hline 25 & 125 & 125 & 8 \
\hline 30 & 150 & 161 & 9 \
\hline
\end{array}$$
A)10 units
B)10 and 15 units
C)10, 15, and 20 units
D)10, 15, 20, and 25 units

Question

Refer to the table below. At what output level or levels are this firm's owners doing as well as or better than they could do with the next best use of their resources? $$\begin{array} { | r | r | r | r | } 
\ { \text { Quantity } } &  { \text { Total Revenue } } & \text { Explicit Casts } & \text { Implicit Casts } \
\hline 10 & 50 & 36 & 5 \
\hline 15 & 75 & 63 & 6 \
\hline 20 & 100 & 93 & 7 \
\hline 25 & 125 & 125 & 8 \
\hline 30 & 150 & 161 & 9 \
\hline
\end{array}$$
A)10 units
B)10 and 15 units
C)10, 15, and 20 units
D)10, 15, 20, and 25 units

Quizplus · Accepted Answer

The firm's owners are doing as well as or better than the next best use of their resources when economic profit (Total Revenue - Explicit Costs - Implicit Costs) is zero or positive. At 10, 15, and 20 units, the economic profit is positive or zero.

Refer to the Table Below A)10 Units B)10 and 15 Units C)10, 15, and 20

Refer to the Table Below A)10 Units
B)10 and 15 Units
C)10, 15, and 20