Final answer:
Based on the comparison of the average price and the purchase price of the computer that Kevin found, it can be inferred that Kevin managed to find the computer at a price significantly lower than the average. The details about the computer company's costs illustrate how production expenses relate to retail pricing strategies. The cost structure analysis, including fixed and marginal costs, is essential for understanding the profitability of the computer company.
Step-by-step explanation:
When Kevin purchases a new computer for $800, we can infer that this price may represent a good deal based on the information provided. For instance, a sales representative reported that the average price for a specific computer model was $1,249 with a narrow standard deviation. However, a price comparison across several stores shows varying prices that suggest a potentially larger standard deviation than claimed. For a buyer like Kevin finding a price at $800, this would indicate a significant savings and a price well below the average retail cost. Moreover, the cost analysis given by a computer company - with fixed costs at $250 and marginal costs increasing per computer - does not directly relate to retail prices, but illustrates the production costs associated with making computers.
If the company sells computers for $500, they would incur a loss on the first unit due to the marginal cost being higher than the selling price, but could potentially make a profit on successive units if the selling price exceeds the sum of the marginal and average fixed costs. Profitability would depend on the number of units sold and the ability to distribute the fixed costs across those units. Sketching graphs of the Average Cost (AC), Marginal Cost (MC), and Average Variable Cost (AVC) curves would help in visualizing where the profit or loss occurs based on different quantities of computers sold.