Discover answers to your most pressing questions at Westonci.ca, the ultimate Q&A platform that connects you with expert solutions. Get immediate answers to your questions from a wide network of experienced professionals on our Q&A platform. Get quick and reliable solutions to your questions from a community of experienced experts on our platform.

In a perfectly competitive market, assume the market price is $5 per unit and the profit-maximizing quantity is 70 units. If the ATC at 70 units is $8, what is the profit/loss amount at the profit-maximizing quantity

Sagot :

Based on the information given, the loss for the perfectly competitive market will be $210.

From the information given, the average total cost of 70 units is $8. Therefore, the total cost will be:

= 70 × $8 = $560.

The revenue will be:

= Price × Quantity

= $5 × $70

= $350

Therefore, the loss will be;

= Total revenue - Total cost

= $350 - $560

= -$210

Therefore, the loss is $210.

Read related link on:

https://brainly.com/question/25367205