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Suppose a monopolistically competitive firm's output where marginal revenue equals marginal cost is 66 units and the price corresponding to this quantity is $18. If the average total cost at this output is $16.55, then its total profit is

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abiolataiwo2015

If the  total cost at this output is $16.55, then its total profit is $95.70.

Total profit

Using this formula

Total profit=(Price-Average total cost)×Number of units

Let plug in the formula

Total profit=($18-$16.55)×66 units

Total profit=$1.45×66 units

Total profit=$95.7

Therefore its total profit is $95.70.

Learn more about total profit here:https://brainly.com/question/21613450

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