Economics – 10/26/19
I. Bellwork: Q&A
A. Provide an example of 3 fixed costs a business may have.
B. Provide an example of 3 variable costs a business may have
C. Explain the difference between fixed and variable costs..
II. Objectives
- Construct and analyze the production function and to determine profit maximizing level of output.
- Determine the meaning and functions of words and phrases used to make economic decisions
- Compute variable, fixed, total costs, and total profit
II. Discussion
- Total Costs (TC) = Variable Costs + Fixed Costs
- Total Revenue (TR) = Price * Quantity
- Profit (Loss) = TR-TC
- Break-Even Point
- Profit Maximization Level of Output = (MR=MC)
III. Classwork
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