1. If a firm sells 40,000 units and the price of the product is $20, with an AVC of $16, and fixed costs are $60,000, what will the firm's operating profit be at this level of sales volume?
2. If a firm has fixed costs of $85,000, a variable cost per unit of $10 and sales price per unit of $15, what is the firm’s breakeven point in units?
3. Assume that you deposit $661 into an account that pays 16 percent per annum. How much money would be in the account 20 years from today?