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Revenues, costs and profits

From Paper 1: Markets and business behaviour
2(a)2 marks
A firm has total fixed costs of £500 and total variable costs of £1500 at an output of 100 units. Calculate average total cost and average variable cost.
From Paper 1: Markets and business behaviour
2(b)3 marks
The market price falls to £14. Explain whether the firm should continue producing in the short run.
Score 0 / 5 · 0 of 2 marked

This paper is written by Plasmo in the style of the Edexcel A-Level Economics exam. It is not a past paper and is not produced or endorsed by the exam board.

Revenues, costs and profits Exam Questions: Edexcel A-Level Economics | Plasmo