To determine the economic profit for a firm, we need to follow several steps:
1. Calculate Total Revenue (TR): Total Revenue is obtained by multiplying the price (from column (1) of demand data) by the quantity (column (3)) for each level of quantity.
- For a quantity of 6: [tex]\( TR = 12.00 \times 6 = 72.0 \)[/tex]
- For a quantity of 7: [tex]\( TR = 11.00 \times 7 = 77.0 \)[/tex]
- For a quantity of 8: [tex]\( TR = 10.00 \times 8 = 80.0 \)[/tex]
- For a quantity of 9: [tex]\( TR = 9.00 \times 9 = 81.0 \)[/tex]
- For a quantity of 10: [tex]\( TR = 8.00 \times 10 = 80.0 \)[/tex]
- For a quantity of 11: [tex]\( TR = 7.00 \times 11 = 77.0 \)[/tex]
- For a quantity of 12: [tex]\( TR = 6.00 \times 12 = 72.0 \)[/tex]
So, the Total Revenues are [tex]\( [72.0, 77.0, 80.0, 81.0, 80.0, 77.0, 72.0] \)[/tex].
2. List the Total Costs (TC): These are directly given in the cost data column:
- For an output of 6: [tex]\( TC = 61 \)[/tex]
- For an output of 7: [tex]\( TC = 62 \)[/tex]
- For an output of 8: [tex]\( TC = 64 \)[/tex]
- For an output of 9: [tex]\( TC = 67 \)[/tex]
- For an output of 10: [tex]\( TC = 72 \)[/tex]
- For an output of 11: [tex]\( TC = 79 \)[/tex]
- For an output of 12: [tex]\( TC = 86 \)[/tex]
Therefore, the Total Costs are [tex]\( [61, 62, 64, 67, 72, 79, 86] \)[/tex].
3. Calculate Economic Profit: Economic profit is obtained by subtracting Total Cost from Total Revenue for each quantity.
- For a quantity of 6: [tex]\( Economic\ Profit = 72.0 - 61 = 11.0 \)[/tex]
- For a quantity of 7: [tex]\( Economic\ Profit = 77.0 - 62 = 15.0 \)[/tex]
- For a quantity of 8: [tex]\( Economic\ Profit = 80.0 - 64 = 16.0 \)[/tex]
- For a quantity of 9: [tex]\( Economic\ Profit = 81.0 - 67 = 14.0 \)[/tex]
- For a quantity of 10: [tex]\( Economic\ Profit = 80.0 - 72 = 8.0 \)[/tex]
- For a quantity of 11: [tex]\( Economic\ Profit = 77.0 - 79 = -2.0 \)[/tex]
- For a quantity of 12: [tex]\( Economic\ Profit = 72.0 - 86 = -14.0 \)[/tex]
Hence, the Economic Profits are [tex]\( [11.0, 15.0, 16.0, 14.0, 8.0, -2.0, -14.0] \)[/tex].
Among the given options, the maximum Economic Profit is [tex]\( \$ 16.0 \)[/tex], which occurs when the quantity is 8 units.
Therefore, the answer is:
[tex]\[
\boxed{\$ 16}
\][/tex]
