The table below represents the hourly output and cost structure for a local pizza shop. The market is perfectly? competitive, and the market price of a pizza in the area is ?$12.
Total costs include all implicit opportunity costs. Calculate the pizza? shop's marginal cost and marginal revenue at each rate of output and fill in the values in the table.
|
Total Hourly Output and Sales of Pizzas
|
Total Hourly Cost? ($)
|
Total Revenue? ($)
|
Total Economic Profit? ($)
|
Marginal Cost? ($)
|
Marginal Revenue? ($)
|
|
0
|
2
|
0
|
0
|
|
|
|
1
|
6
|
12
|
6
|
|
|
|
2
|
8
|
24
|
16
|
|
|
|
3
|
9
|
36
|
27
|
|
|
|
4
|
11
|
48
|
37
|
|
|
|
5
|
15
|
60
|
45
|
|
|
|
6
|
21
|
72
|
51
|
|
|
|
7
|
29
|
84
|
55
|
|
|
|
8
|
39
|
96
|
57
|
|
|
|
9
|
51
|
108
|
57
|
|
|
|
10
|
67
|
120
|
53
|
|
|