Econ-Supply Production Schedule

Marginal Revenue

________: PRICE of a product (amount received for the next widget)

Quantity or Total Product

Q or TP

Marginal Product

How much more of a product are you making every time

Fixed Costs

rent or mortgage, insurance, salaries, loan payments

Variable costs

hourly labor (wages), raw materials, utilities, bonuses

Total Cost

FC+VC (fixed costs+variable costs)

Marginal Cost

current TC minus last row of TC (total cost)

Average Total Cost

TC / TP (total cost/total product)

Marginal Revenue

PRICE of a product (amount received for the next widget)

Total Revenue

MR x TP (Marginal revenue x total product)

"In the Red"

losing profit (cash flow is negative)

"In the Black"

making/creating profit (cash flow is positive)

Break-Even point

TC=TR (total cost=total revenue)