12. If the demand function for a product is p = 100- 2x where p is price in dollars and r is the number of units sold, and the average cost function for a product is C(x) = 100 +4 where x is the number of units sold and C is dollars per unit, what is the maximum profit? Answer and Work Explanation of Work

Q: 3. Consider a producer with the production function y = J(L + K). The price of L is 2 and the price…

A: Given, Production function  y=L+Ky2=L+K Price of L = 2 Price of K = 4 The cost function,  C=PL×L…

Q: Question 5 A manager hires labour and rents capital equipment in a very competitive market.…

A: The optimal amount of labor and capital is such where MPL / MPK = w / rWhere, MPL = Marginal product…

Q: Capital Labour Total product Average product marginal product 3 0 0 3 1 5…

A: As per the guidelines answer is given to the first three sub parts: i) "Average product is computed…

Q: 2. A firm uses capital (denoted by K) and labor (denoted by L) to produce hockey sticks. The firm's…

A: Production function describes the relationship between the quantity of output produced and the…

Q: QUESTION 23 A wheat farmer has a production function of q = KL = K0.5L0.5 with marginal products MPL…

A: Answer: Given, Production function: q=KL=K0.5L0.5 Marginal products:MPL=0.5KLMPK=0.5LK Since the q…

Q: Question 13 Consider a firm whose cost function when both L and K are variable is shown in the…

A: Total cost: It refers to the total cost incurred while producing the commodity.Average Total cost…

Q: 4 3. A firm’s production function is q = 8K.25L.75 MPL = 6 K.25L-.25 MPK = 2 K-.75L.75 a. Determine…

A: short-run cost function  and the long-run cost function given below.

Q: total revenue (TR) and total cost (TC) if

A: If price is equal to AC then at this situation TR= TC ( since TR=AC×Q and TC=AC×Q )

Q: Suppose a wind turbine producer faces this production function: Q=0.25KL with MP = 0.25K; MPk =…

A: Given wage = 12 and rental cost = 22

Q: 0.2 2. A seller's production function is q = f(k,1) = (kl), w = v = 1, and the competitive output…

A:

Q: Q. 4 For a firm with a Total Cost function TC = C(Q), recall that the definitions of Marginal Cost…

A: Marginal cost of production is the amount of dollars incurred by a firm in producing an additional…

Q: 1) Miguel and Jake run a paper company. Each week they need to produce 1,000 reams of paper to ship…

A:

Q: 3: Suppose a firm's production function is q = 2L+5K, the wage is w = 4, and the rental rate of…

A: Cost function is a mathematical equation that estimates the cost of a product given the price of its…

Q: If the total cost curve gets flatter as output increases (reaching the top of the hill), the firm is…

A: Total cost is the sum of fixed cost and variable cost. Marginal product refers to change in total…

Q: 9. For the cost function C(Q) = 100 + 20 - 302, the marginal cost of producing 2 units of output is…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: Question 10 Consider a firm whose cost function when both L and K are variable is shown in the…

A: Total cost: It refers to the total cost incurred while producing the commodity.Marginal Cost: It…

Q: 1- A competitive firm has the short-run production function given by Q = 2L² – 0.04L³ Assume the…

A: Given, The short-run production function, Q = 2L2 - 0.04 L3 Here, Q is the quantity of good or…

Q: Q. 1. Use production function q(L, K) = L'"ª KV and derive the followings: Short-run and long-run…

A: b. Derive cost functions by equating Marginal Rate of Technical substitution (MRTS) to the input…

Q: Q. 1. Use production function q(L, K) = L'"ª KV* and derive the followings: (a) (b) (c) (d)…

A: “Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: Consider the production function of Firm Z below utilizing inputs labor (L) and capital (K) in…

A: Given that, the production function, Z=K0.5L0.5 a fixed price for labor is 5 per unit a fixed price…

Q: Question 8 The marginal cost function for a good is given by MC = -Q² + 80Q. Find the total cost…

A: Given: Marginal cost function: MC=-Q2+80Q Fixed cost = 500

Q: • TASK 1 – QUADRATIC FUNCTIONS The demand function for a new product is p(x) =-4x + 42.5, where x is…

A: Since you have provided multiple parts question, we will solve the first three parts for you. If you…

Q: Consider the following Table: Q TC 100 140 90 150 80 160 3 70 170 60 180 5 50 190 6. 40 200 30 210 8…

A: Average total cost or ATC is calculated by dividing total cost (TC) by quantity (Q). Marginal cost…

Q: 2. A firm producing hockey sticks has a production function given by: q = 2 vkl In the short run,…

A: Introduction Cost and production function of a firm has given. i) Given production function: q = 2…

Q: Question #3 Suppose a firm's short-run cost function is given by the following expression: C(q) = 10…

A: Given: The firm's short-run cost function is:  Cq = 10 + 14q - 6q2 + q3 To Find: Assuming this…

Q: In the short run, when a firm produces 60 units of output, its total fixed cost is $120. Then the…

A: Total Cost is the sum total of fixed cost and variable cost incurred in the production of all the…

Q: The table above shows the total cost function for a typical firm producing hats in a perfectly…

A: "Since you have asked a question with multiple sub-parts, we will solve the first three sub-parts…

Q: firm that employs only one variable input, labor, to produce a product that sells for $14 per unit.…

A: Marginal cost is the additional cost of employing the labour. Marginal product is the change in…

Q: 6 A production function is given by f(x1,x2)=(max{x1,x2})^0.5. Prices of inputs are p1=10 and p2=20.…

A: Given perfect complement production function where inputs X1 and X2 has price 10 and 20…

Q: Question 1. The marginal cost function of a company is given by C'(q) = 3q² – 24q + 210 rand/unit…

A: Before solving the above problem, let us first understand some key concepts relating to costs in…

Q: Find the cost minimizing combinations of capital and labor a firm should employ in the following…

A: Given production function: q=K1/2L1/2       .......... (1) Let w be the wage rate and v is the cost…

Q: Figure 73 shows the short-run cost curves for a producer. In the figure below, lines H, J. and K…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: 8. A firm's total cost function is given by TC = 3Q} +2Q,Q, +7Q; Where Q, and Q, denote the number…

A: Given Information TC = 3Q12 + 2 Q1Q2 + 7Q22  Q1  + Q2  = 40Q1=40-Q2

Q: 2. A firm producing hockey sticks has a production function given by q = 2Vkl The price of labor is…

A: Production function q=2(KL)1/2 W=price of labor V=price of capital q=level of output

Q: Your firm “We Work Eot U" rents access to shared open office spaces for a price of $540 per year.…

A: TR= 540Q TC= 80000+40Q+0.5Q2 Price= $540 per year In perfectly competitive market, for profit…

Q: 2. A firm combines three inputs (21, 22, 23) to produce output y according to production function: ƒ…

A: We are going to use marginal rate of transformation method to answer this question.

Q: 27. If a firm will produce an additional unit of good or services, determine what will happen to…

A: In the market, firm may change its production decision with the change in the market situation and…

Q: 10. In the long run, a profit maximising firm produces any given level of output by choosing the…

A: Hi! Thank you for the question but as per the guidelines, we answer only one question at one time.…

Q: PART 2 Question 1 a. The following table summarizes the short-run production functions for "All…

A: ince you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: 2. A firm producing hockey sticks has a production function given by q = 2Vkl The price of labor is…

A: Cost function refers to the minimum cost incurred to achieve certain level of output .  Cost…

Q: 8. Consider the following cost function: C(Q) = 20Q³ – 15Q² + 10Q. Answer the following questions:…

A: cost function is a function that maps an event or values of one or more variables onto a real number…

Q: 11. To the economist total cost includes: a. explicit and implicit costs, including a normal profit.…

A: 11. The total expenses being incurred includes both explicit and implicit costs on the resources in…

Q: Question 12. A firm's long-run production function is given by q = LK, where L denotes units of…

A: A production function gives the technological relation between quantities of physical inputs and…

Q: 2. For the following questions, suppose the firm has the production function f(x,x2) = x,2x/2. The…

A: Given  Production function: f(x1,x2)=x11/2x21/2                 .... (1)

Q: Question 2: A firm faces the following cost function: C(y) = 4y2 + 10, resulting in a marginal cost…

A: C=4y2 + 10 Differentiate C w.r.t y MC = dC / dy => MC = 8y ------------------------- C=4y2 + 10…

Q: Consider the production functions for X and Y given below. X = 2K2 + 4L ; Y = 10K0.5 L0.5 ; Suppose…

A: Production Function X = 2K2 + 4L ; Y = 10K0.5 L0.5

Q: [16] Operating in the short run with one fixed input and one variable input, the marginal product of…

A: (16) Answer: Given Information, Marginal Product (MP) = 10 - X Output price = 3 Variable Price (Let…

Short-Run Costs and Long-Run Costs

Cost of short-run and the long-run is an economic term that describes the cost involved in the production of goods in a firm in the short as well as long period.