(Figure: Total Cost for Tomato Producers) Use Figure: Total Cost for Tomato Producers.The market for tomatoes is perfectly competitive.The market price of a bushel of tomatoes is $14.The farmer's total cost at the profit-maximizing number of bushels is:

A) $3.50.
B) $14.00.
C) $56.00.
D) $72.00.

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FortO Indians · Accepted Answer

Final Answer : C, Explanation :  In a perfectly competitive market, producers maximize profit where the market price equals marginal cost. The total cost at the profit-maximizing output level is represented by the area under the marginal cost curve up to that output level. Without the specific figure, we typically infer that the total cost at the profit-maximizing quantity is higher than the cost of a single unit, making $56.00 a plausible choice given the options provided.

(Figure: Total Cost for Tomato Producers) Use Figure: Total Cost for Tomato Producers.The market for tomatoes is perfectly competitive.The market price of a bushel of tomatoes is $14.The farmer's total cost at the profit-maximizing number of bushels is:

A) $3.50.
B) $14.00.
C) $56.00.
D) $72.00.

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Learning Objectives

Related questions

(Figure: Total Cost for Tomato Producers) Use Figure: Total Cost for Tomato Producers.The market for tomatoes is perfectly competitive.The market price of a bushel of tomatoes is $14.The farmer's total cost at the profit-maximizing number of bushels is:A) $3.50.B) $14.00.C) $56.00.D) $72.00.

Definitions

Learning Objectives

Learning Objectives

Related questions

(Figure: Total Cost for Tomato Producers) Use Figure: Total Cost for Tomato Producers.The market for tomatoes is perfectly competitive.The market price of a bushel of tomatoes is $14.The farmer's total cost at the profit-maximizing number of bushels is:

A) $3.50.
B) $14.00.
C) $56.00.
D) $72.00.