As a production process requires labor L and capital K, q = F (L, K). The wage for a labor is $500, the cost for one capital is $250. If the production plan is to produce 250 products, what is the firm's minimized cost

Q: For the cost function C(Q) = 200+3Q2+4Q3, what is the average fixed cost of producing 10 units of…

A: We have total cost function: C(Q)=200+3Q2+4Q3          ... (1) We have to calculate average fixed…

Q: a bus which holds at most 45 people to go to an educational tour in a museum. The bus company…

A: Firms use the total cost function to compute their profits. The total cost function consists of…

Q: For the cost function C(Q) = 75 + 4Q + 2Q2, the marginal cost of producing 5 units of output is

A: The marginal cost is the change in the total cost that arises when the quantity produced is…

Q: A soda bottling plant uses are capital (K), electricity (E) and raw materials (R) in production. Its…

A: We are going to solve for marginal rate of technical substitution to answer this question.

Q: The MC curve must be * rising when TC is rising. less than AFC when the average cost is rising.…

A: Every production unit incurs certain amount of costs during production processes. These costs are…

Q: increasing, decreasing, or constant returns to scale.

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

Q: As a production process requires labor L and capital K, q = F (L, K). The wage for a labor is $500,…

A: The optimal level of labor and capital is given by the point where the marginal rate of technical…

Q: Suppose a firm is producing 1,000 units of output. Its average fixed costs are $100. Its average…

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Q: The technology for making nails is described by the Cobb-Douglas production function Q(L,K) = L*K,…

A: MRTS is the marginal rate of technical substitution which is the rate at which one input is…

Q: Cost functions are derived from

A: # Cost function is a representation which helps in predicting the cost of good or service with…

Q: Suppose a laptop manufacturer has the given total cost function and the given total revenue…

A: Here, total cost function and total revenue function are given as: C(x) = 200x + 8000  R(x) = 500x…

Q: Which of the following would be the best starting point on which to focus if an air conditioner…

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Q: Normal profits are Multiple Choice   the profits reported by accountants on a firm's annual…

A: ANS Profit is given by subtracting Total Cost (TC) from Total Revenue (TR). Mathematically it is…

Q: If marginal cost is greater than average total cost, then average total cost must be increasing.…

A: The marginal cost curve is downward sloping when it is below ATC. At the same time ATC is also…

Q: Consider the following cost function: C(Q)=9,300+44Q+0.025Q 2 Calculate total costs when Q=180

A: The cost function calculates the lowest possible cost of manufacturing a specified quantity of…

Q: The long run is a period of time, or a time frame, in which        all resources are fixed.…

A: A long run in the economics is the time when the manufacturers and producers have the flexibility of…

Q: If the total quantity is 100, the average fixed cost is 10, then we can say that the total fixed…

A: Fixed cost is that cost which remains the same irrespective of the quantity produced by the firm.

Q: If C = 0.0001Q2 + 3Q + 6000 is a total-cost function, find the marginal cost when Q = 100.

A: Marginal cost is the cost of the last unit produced, and it is a change in total cost for the last…

Q: If the average variable cost is OMR 74 and total fixed cost is OMR 100 at 5 units of output, then…

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Q: As a production process requires labor L and capital K, q = F (L, K). The wage for a labor is $500,…

A: Given that Production function: q = F(K, L) Wage for a labor, w = $500, Cost for one capital, v =…

Q: What is meant by a sunk cost? Give typical sunk costs for an IT project.

A: Sunk costs are a type of fixed costs and they do not change irrespective of the levels of…

Q: MC=500Q2√Q3+5 (b) Find the total cost function

A: Marginal cost is defined as the cost which is incurred by the producer in order to produce one more…

Q: When economies of scale are large, firms can reduce their average total cost by: Multiple Choice…

A: When firms have large economies of scale, they tend to merge with other firms to make up larger…

Q: In a production process, an excessive amount of the variable input relative to the fixed input is…

A: Short-run production: Under the short-run production, there are both factor inputs i.e. Fixed and…

Q: As a production process requires labor L and capital K, q = F (L, K). The wage for a labor is $500,…

A: Cost is minimized when isoquant is tangent to the isocost line. The isoquant Q = 100 is tangent to…

Q: The marginal cost curve is generally ______________, because diminishing marginal returns implies…

A: The economic cost compares the benefits and drawbacks of various options. It does this in terms of…

Q: When output increases from 20 to 30 units the total cost increases from $500 to $600. Assuming the…

A: Average Total Cost (AC): - it is the average value of total cost by producing a specific unites of…

Q: When average cost decreases as output increases, Group of answer choices marginal cost is below…

A: The economies of scale curve is a long-run average cost curve since it permits all variables of…

Q: When marginal cost exceeds average total cost, a marginal cost must be rising. b average total cost…

A: MC(marginal cost) & ATC(average total cost) are both U-shaped curves and MC cuts/intersects ATC…

Q: Graphically, the marginal cost curve and the average total cost curve intersect where

A: The marginal cost (MC) curve and the average total cost (ATC) curve interest at the minimum point of…

Q: For the cost function C(Q) = 100 - 20 - 30, the total variable cost of producing 2 units of output…

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

Q: As long as marginal cost is below average cost, average cost will be a. falling b. rising. .…

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

Q: Find the total-cost function c(q) given the marginal-cost function dc/dq below, if the fixed costs…

A: Given data: Fixed cost is $4000 dcdq=1q+8

Q: In the table, the average variable cost at 2 units of output is

A: Answer to the question is as follows :

Q: suppose the cost function is given as C = 135 + 75Q – 15Q2 + Q3. Prepare a cost schedule (table)…

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Q: Label each of the following as sunk cost, opportunity cost, or incremental costs and briefly explain…

A: The whole cost of producing a product may be included in a company's financial records as the cost…

Q: Average cost is defined as a. total cost divided by marginal cost. b. total cost divided by total…

A: Total cost (TC): - it is the sum of fixed and variable costs incurred in the production process.

Q: A factory that you are managing has an hourly production process that can be represented by the…

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Q: Which of the following statements is true? Costs are always explicit, never implicit. Costs are…

A: Cost is the expenditure incurred by the firm on purchase of factors of production for the production…

Q: Economies of scale are of two kinds

A: With an increase in the production of output, the firm will enjoy a cost advantage, this is known as…

Q: Average cost is defined as __________

A: In economics we come across the term total cost which shows the relationship between cost incurred…

Q: At zero level of production, _______ cost is always zero

A: Whenever production starts, the firm has to incur costs such as rent of the property such as…

Q: The total cost of producing the first q items is given by the formula C(q) = -2q^3 + 60q^2 + 1000…

A: Given: Total cost function C(q) = -2q3 + 60q2 + 1000 First, we will find the average cost function…

Q: Suppose the production function is q = 6L0.60K0.90. Determine the long-run capital- to-labor ratio…

A: A firm will maximise profit at a point where marginal rate of technical substitution is equal to…

Q: Marginal cost is calculated for a particular increase in output by   Question 1 options:   A)…

A: Marginal cost refers to an additional cost of producing one more unit of output.

Q: based on the following function AC=(48/Q)+3Q+10, then the Fixed cost is A) 48 B) 9 C) 18/Q D) 1

A: Fixe cost does not vary with the output

Q: The inventory cost C of stocking a lot of size x is given by the function C(x)=8.1x+5,000x−1+675.…

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