Vipsana's Gyros House sells gyros. The cost of ingredients (pita, meat, spices, etc.) to make a gyro is $2.00. Vipsana pays her employees $60 per day.  She also incurs a fixed cost of $120 per day to run her food truck. Calculate Vipsana's average total cost per gyro when she produces 50 gyros using two workers

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A: Total cost is the cost of all inputs needed to produce with the given output. ATC is given as $30…

Q: The 50th worker produces fewer additional units of output than the 49th worker does.’ Based on the…

A: The Marginal cost is the change in total cost when one additional unit of input is used. The average…

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Q: If you have the data of Total cost (TC)= 15, 25, 30, 40, 55, 75, 100 against units of output (Q) =…

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A: Constant returns to scale means when inputs increases by some percentage then output increases by…

Q: What shapes would you generally expect each of the following cost curves to have: fixed costs,…

A: Cost curves shows how the cost of production changes when output/quantity changes.

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A: The isoquant curve shows the combination of two factors of production that produces the same amount…

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A: Total cost is the sum of fixed cost and the variable cost. Fixed cost is fixed and does not vary…

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A: Average total cost refers to total cost per unit of output. It is the sum of average fixed cost and…

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Q: What are a total variable cost and average variable cost?

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A: The average Total cost if the the average variable cost is falling is also falling.

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A: Fixed cost does not depend on output. It remains fixed even when firm produces 0 units. Variable…

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Q: The following table represents the potential monthly output (Q), number of workers (L), marginal…

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Q: “Sunk cost is a fixed cost, but not in the long term.” Is this statement true or false? Explain!

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A: Implicit Cost is self owned cost not need to pay to other or a cost has already occurred not…

Q: explicit or implicit cost

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Q: What is the relation between fixed cost and total cost ??

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Q: A bottling company uses two inputs to produce bottles of the soft drink Sludge: bottling machines…

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Q: marginal cost curve and average variable cost (AVC) curve related?

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Cost of Production

The entire idea of the cost of production or production cost is applied corresponding, or we can say that it is related to monetary cost. Money cost refers to any money expenditure which the firm or supplier, or producer undertakes in purchasing or hiring factor of production or factor services.