The attached spreadsheet shows the total revenues and the total costs at various output levels (Number of Cans) for the company "Dave's Maple Syrup".
1. We know that this is a characteristic of Perfect Competiton because the Price is the same at $ no matter what the level of output of cans of maple syrup produced
2. The Marginal Revenue of the 8th unit is
3. The Marginal Cost of the 4th unit is
4. The Average Total Cost if Dave sells 5 cans is
5. The economic profit that Dave would earn if he sold 7 cans is
6.. Dave will maximize his economic profit if he sells how many cans of maple syrup:
7. The total fixed costs that Dave incurs are no matter how many cans Dave produces
8. The total variable costs of the 9th unit are