Answer;
Total profit is $18000
Step-by-step explanation:
Given in question
Number of unit is 1000
Average revenue is $100
Average total cost is $80
Fixed cost is $2000
Total revenue = average revenue [tex]\times[/tex] number of unit
Total revenue = $100 [tex]\times[/tex] 1000=$100000
Total input cost = total cost + fixed cost
Total cost = average cost [tex]\times[/tex] total unit
Total cost =$80 [tex]\times[/tex] 1000 = $80000
Total input cost = $80000 + $2000 = $82000
Profit = total revenue-total cost
Profit = $100000 - $82000 = $18000
Total profit is $18000
