N2016, raleigh sold 1,000 units at $500 each, and earned net income of $40,000. variable expenses were $300 per unit, and fixed expenses were $160,000. the same selling price is expected for 2017. raleigh's variable cost per unit will rise by 10% in 2017 due to increasing material costs, so they are tentatively planning to cut fixed costs by $10,000. how many units must raleigh sell in 2017 to maintain the same income level as 2016? select one:

In the short-run, marginal costs are equal to the change in variable costs as output changes. ( mc = change in variable cost / change in quantity) assume that capital is fixed in the short-run. (a) start with the equation for marginal cost and derive an equation that relates marginal cost of production to the cost and productivity of labor. (b) draw a standard looking short-run marginal cost curve and use the equation you derived to explain its shape.