This question is based off of Walter Energy (WLT) a publicly traded company.
How does the Average Total Cost (ATC) of the mines in Canada compared to the ATC of the Alabama mines? Sketch the ATC and Marginal Cost of the whole company (include all mines in the graph, the graph has to be approximate, it should give an idea of how costs evolve with production). Also include in your graph the Minimum Efficient Scale production level.