6. Nimbus Ltd. makes brooms and then sells them door to door. Here is the relationship betweenthe number of workers and Nimbus's output in a given dayAverageMarginalTotalMarginalTotalWorkersProductCostCostCostOutput---201250901204514061507155 d. Now fill in the column for marginal cost. (Recall that MC = ATC/AQ.) Wh6/8do you see?e. Compare the column for marginal product and the column for marginal cost. Explainthe relationshipf.Compare the column for average total cost and the column for marginal cost. Explainthe relationship

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Asked Nov 18, 2019
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6. Nimbus Ltd. makes brooms and then sells them door to door. Here is the relationship between
the number of workers and Nimbus's output in a given day
Average
Marginal
Total
Marginal
Total
Workers
Product
Cost
Cost
Cost
Output
---
20
1
2
50
90
120
4
5
140
6
150
7
155
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6. Nimbus Ltd. makes brooms and then sells them door to door. Here is the relationship between the number of workers and Nimbus's output in a given day Average Marginal Total Marginal Total Workers Product Cost Cost Cost Output --- 20 1 2 50 90 120 4 5 140 6 150 7 155

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d. Now fill in the column for marginal cost. (Recall that MC = ATC/AQ.) Wh
6/8
do you see?
e. Compare the column for marginal product and the column for marginal cost. Explain
the relationship
f.
Compare the column for average total cost and the column for marginal cost. Explain
the relationship
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d. Now fill in the column for marginal cost. (Recall that MC = ATC/AQ.) Wh 6/8 do you see? e. Compare the column for marginal product and the column for marginal cost. Explain the relationship f. Compare the column for average total cost and the column for marginal cost. Explain the relationship

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Expert Answer

Step 1

we can fill the table as follows.

 

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Workers Output Marginal product Average total Marginal Total cost cost cost 0 0 200 300 5.00 20 20 15.00 50 30 400 8.00 3.33 2 5.56 5.00 90 40 500 2.50 120 30 4 600 3.33 5 140 20 700 5.00 5.00 150 10 800 5.33 10.00 6 155 7 5 900 5.81 20.00

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Step 2

(d)

 

To fill the given table, we need to solve some other factors. We can fill the table using the equations as follows.

 

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aOutput Workers Marginal product Total cost Variable cost +Fixed cost ATotal cost AOutput Marginal cost Total cost Average total cost = Output

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Step 3

Using these equations, we can re con...

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Workers Output Marginal Variable product Total cost Marginal Average Fixed total cost cost cost cost 0 200 0 200 200 1 20 20 100 300 5 15 2 50 200 30 200 400 3.33333 8 3 90 200 5.55556 40 300 500 2.5 120 200 600 30 400 3.33333 140 5 200 20 500 700 5 5 6 150 200 800 10 600 10 5.33333 7 155 200 700 900 20 5.80645

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