To determine at which output quantity the business is experiencing a loss (negative profit), we need to consider the total revenue and total cost at each quantity.
1. Identify the quantities and corresponding total revenues and total costs:
| Quantity | Total Revenue | Total Cost |
|----------|--------------|------------|
| 1 | \[tex]$20 | \$[/tex]514 |
| 2 | \[tex]$30 | \$[/tex]524 |
| 3 | \[tex]$54 | \$[/tex]539 |
| 4 | \[tex]$60 | \$[/tex]561 |
| 5 | \[tex]$50 | - |
2. Calculate the profit for each quantity:
Profit is calculated by subtracting the total cost from the total revenue.
- For Quantity 1: Profit = \$[/tex]20 - \[tex]$514 = -\$[/tex]494
- For Quantity 2: Profit = \[tex]$30 - \$[/tex]524 = -\[tex]$494
- For Quantity 3: Profit = \$[/tex]54 - \[tex]$539 = -\$[/tex]485
- For Quantity 4: Profit = \[tex]$60 - \$[/tex]561 = -\[tex]$501
Note for Quantity 5: We don't have a total cost given, so we cannot calculate the profit for Quantity 5.
3. Determine where the profit is negative:
- At Quantity 1: Profit = -\$[/tex]494 (negative)
- At Quantity 2: Profit = -\[tex]$494 (negative)
- At Quantity 3: Profit = -\$[/tex]485 (negative)
- At Quantity 4: Profit = -\[tex]$501 (negative)
Considering the dataset and calculations, the business is experiencing a loss at Quantity 1 with a profit of -\$[/tex]494.
Thus, the answer is Quantity 1.
