You are given the following total costs for a production facility for protective cases for laptop computers:
Number of units Produced ('000) |
0 | 100 | 200 | 300 | 400 |
---|---|---|---|---|---|
Total Cost ($'000) | 600 | 2,000 | 3,200 | 4,200 | 6,600 |
Assume the production facility produces where average variable
costs are minimized. If the price is $12.50 per case, what is your
gain or loss? (If a loss, enter it as a negative number. Don't
enter this as 'thousands of dollars' -- take into account that
costs and output units are in thousands.)
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