Answer the questions that follow based on the production function in the image attached, the daily costs of production are $50 to each worker hired and $15 per machine leased. Complete as much of the table as you need to answer the questions and number each answer according to each questions This firm is not operating in the long run. Briefly tell me why When is the firm predicted through this production function most productive? When is the firm predicted through this production function least productive? Fixed costs at 0 units of output are The marginal cost at 4750 units of output is: Make sure to round up to two decimals. Which two variables in the table are essential to the understanding of the law of diminishing marginal returns? If the firm represented by this production function was perfectly competitive, what price would it charge to reflect it operating in the long run? Make sure to round up to two decimals At what price would the firm represented here shut down? Make sure to round up to two decimal
Answer the questions that follow based on the production function in the image attached, the daily costs of production are $50 to each worker hired and $15 per machine leased. Complete as much of the table as you need to answer the questions and number each answer according to each questions This firm is not operating in the long run. Briefly tell me why When is the firm predicted through this production function most productive? When is the firm predicted through this production function least productive? Fixed costs at 0 units of output are The marginal cost at 4750 units of output is: Make sure to round up to two decimals. Which two variables in the table are essential to the understanding of the law of diminishing marginal returns? If the firm represented by this production function was perfectly competitive, what price would it charge to reflect it operating in the long run? Make sure to round up to two decimals At what price would the firm represented here shut down? Make sure to round up to two decimal
Chapter11: The Firm: Production And Costs
Section: Chapter Questions
Problem 6P
Related questions
Question
- Answer the questions that follow based on the production function in the image attached, the daily costs of production are $50 to each worker hired and $15 per machine leased. Complete as much of the table as you need to answer the questions and number each answer according to each questions
- This firm is not operating in the long run. Briefly tell me why
- When is the firm predicted through this production function most productive?
- When is the firm predicted through this production function least productive?
- Fixed costs at 0 units of output are
- The marginal cost at 4750 units of output is: Make sure to round up to two decimals.
- Which two variables in the table are essential to the understanding of the law of diminishing marginal returns?
- If the firm represented by this production function was
perfectly competitive , what price would it charge to reflect it operating in the long run? Make sure to round up to two decimals
- At what price would the firm represented here shut down? Make sure to round up to two decimals
Transcribed Image Text:Quantity Quantity
of
of
Workers Machines Output of Labor
0
3
0
1
650
1400
2450
3700
4550
4750
234
33333
5
B
3
3
3
3
3
Cost of Cost of
Workers Total Cost
of
Production
$0
Marginal Machines
Product (Fixed (Variable
Cost) Cost)
145.00
245.00
345.00
Average Average Average
Fixed Variable
Cost
Cost Cost
(AFC) (AVC) (ATC)
$0.08 50.15
0.03
0.07
0.08
0.01
0.07
Total Marginst
Cost
(MC)
0.07
0.06
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