Page 5 - H. A Producer's equilibrium

6. From the following schedule find out the level of output at which the
producer is in equilibrium.

Output(units) 1 2 3 4 5 6

Price (Rs) 10 9.5 9.0 8.5 8.0 7.5

MC(Rs) 4 5 6 7 9 12

7. From the following table find out the level of output at which the
producer is in equilibrium. Give reasons for your answer.(use marginal

cost-marginal revenue method)
Output(units) Marginal cost(Rs) Total revenue(rs)

1 12 10

2 10 20

3 8 30

4 10 40

5 12 50

8. Using MC-MR method find the level of output at which producer will be
in equilibrium.
Output AR TC

1 20 22