Southwest Tennessee Community Week 4 Marginal Cost and Average Total Cost Essay

For this assignment, write a narrative essay (minimum of 1200 words) which addresses the questions and statements below. When finished, the essay should demonstrate a thorough understanding of the subject matter. A minimum of three scholarly sources are required, and all sources should be cited and referenced in APA format.

1. For each lettered space in the following table, determine the appropriate dollar amount
   
2. Explain the MC curve if the ATC curve is continually declining.
3. Explain why a perfectly competitive firm will shut down in the short run if price is lower than average variable cost but will continue to produce if price is below average total cost but above average variable cost.
4. You read in a business magazine that computer firms are reaping high profits. With the theory of perfect competition in mind, what do you expect to happen over time to each of the following?
   a. Computer prices
   b. The profits of computer firms
   c. The number of computers on the market
   d. The number of computer firms
5. Submit to plagiarism checker before marking complete

Click here to edit your answer.