According to the information below, which of the following is (are) true?Units of variable input (I)Units of output (Q)1,000ТCTVC200$30,000$25,000TFC $55,000b. AVC $30The price of the variable input is $125/unitа.с.d.a. and c

The total cost of production is the summation of all the fixed cost as well as the variable costs in…

Answered: According to the information below,…

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter6: Proudction Costs

Section: Chapter Questions

Problem 2SQP

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Please refer to the figure below. The equation for p = 105-0.005D 25,000+65D Y D (units sold) How much is the fixed cost? ОА. BD65 о В. BD22,500 ОС. BD12,500 O D. BD25,000 Cost/Revenue
swered Costs per Unit (dollars) 1000 900 800 700 600 500 400 300 200 100 0 4 Average total cost B Marginal cost Output (units per day) Average variable cost Average fixed cost 22 24 How many units of output should be produced per day if the price of the product is $600/unit? (provide an approximate answer in whole numbers)
For a given commodity, the line haul cost is $13 per mile. For a trip of 200 milesand a shipment of 300 lbs., what is the cost per pound? If the shipment is increasedto 500 lbs., what is the saving in cost per pound?
Eliza works in a diner and creates luscious pies. She has the following average total cost schedule (see the picture below): H Quantity of Pies Produced 600 601 Average Total Cost in HongKong Dollars 300 301 The current level of production of Eliza is 600 (six-hundred) pies, which all have been sold. A customer desperately texted you that they wanted to buy one of her pies. They offer 550 HK$. Should Eliza accept the offer? If not, why?
ATC, AAC, AVC, MC (/uni 270.00 24000 21000 180.00 150.00 120.00 10:00 60.00 30.00 0:00 02 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34 Units of Output (0) Unit Cost Curves Refer to the graph above. The curves are not labeled. To help get this question right, you must first label the curves. An output level of 18 is identified with the dark vertical line. The shaded rectangular area (height times width) is the O average sunk cost. O total sunk cost O total avoidable fed cost. O total avoidable cost. O None of the above
2. What is the relationship between the total cost curve, and the average cost per unit? Explain their relationship, and draw a diagram showing how the two are related. The total cost of production, in thousands of dollars, is C(q) = q³ 12q² + 60q, where q is in thousands and 0 ≤ q ≤ 8. (a) Graph C(q). Estimate visually the quantity at which average cost is minimized. (b) Determine analytically the exact value of q at which average cost is minimized.
A company handles an apartment building with 50 units. Experience has shown that if the rent for each of the unit is $760 per month, all the unit will be filled, but 1 unit will become vacant for each $20 increase in this monthly rate. If the monthly cost of maintaiing the apartment building is $12 per rented unit, what rent should be charged per month to maximize the profit? $ =
Save The production function for a product in given by q-100KL mergnal product functione MP100K end MP100 he poe of cp,cs00 per day wnd the priefer, w, in S400 per day, what the minimum cost of producing 10,000 units of oupun The minimum cost of producing t10,000 units of output is Round al intemediate retb deciml placand erter your pone unded te deia ps
5) If Hilltop Turf Farm's total cost of producing acres of sod is TC = 0.20-120Q - 5,000, the marginal cost of producing the fiftieth 50h acre of sod is a) $110. b) $120. C) $130. d) $140. e) $150.
The manager of the donut shop tells you that hesells donuts for $1 each, and that if he were to makeadditional donuts, based on his current level ofoutput, it would cost him $0.80 per donut. Do yourecommend that the manager increase or decreasethe number of donuts he makes?
Q4- A firm producing lamps has fixed costs of €1000 per week. 1) f a kamp costs €15 to produce. (a) Write down the equation for total cost. (b) Graph the total cost function for Q = O to 100 (c) Calculate the cost of producing 25 lamps. (d) How many lamps are produced when total costs are C7000? 2) If the lamps are sold for €35 each. (a) Write down the equation for total revenue. (b) Graph the total revenue function for Q = 0w 100. (c) How many lamps are sokl when total revenue is €1750? (d) Does the firm's revenue exced costs when 80 lamps are sold? Calculate the rofit/loss when 80 lamps are sold.
A firm uses a single input to produce a commodity according to itsshort-run production function f(x) = 4√x, where x is the number of units ofinput. The commodity sells for $100 per unit. The input cost $50 per unit.(a) Write down a function that states the firm’s profit as a function ofthe amount of input.(b) What is the profit maximizing amount of input and output?(c) Suppose the firm is taxed $20 per unit of its output and the priceof its input is subsidized by $10, explain in detail how this will affect the newinput and output levels?

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According to the information below, which of the following is (are) true? Units of variable input (I) Units of output (Q) 1,000 ТC TVC 200 $30,000 $25,000 TFC $55,000 b. AVC $30 The price of the variable input is $125/unit а. с. d. a. and c