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To calculate profit and loss pre and post incorporation, compare total revenue with total costs, analyze the average cost curve for profitability, and assess the impact of marginal units on profits.
Calculating profit and loss prior and post incorporation involves comparing total revenue and total costs to determine the company's financial performance. To identify profitability, one can look at the average cost curve which shows whether the company is making a profit or facing losses at a specific price level. The significance of marginal units produced in adding to profits can also be assessed to understand the impact on overall financial outcomes.
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