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Assume the firm's Fixed cost= $500 and the firm pays each worker $200 a) Complete the following table using the above information. Workers Output Q Marginal Fixed Cost Variable Cost Product Average Total Cost ATC Total Marginal Cost TC Cost MC MP 500 500 10 10 500 200 700 20 50 30 20 500 400 900 10 30 60 30 500 600 1100 6.6 18.3 80 20 500 I 800 1300 10 16.2 5. 90 10 500 1000 1500 20 16.6 b) How many workers are hired when the firm is at its efficient scale? c) What is the relationship between marginal cost and the average total cost? MacBook Air 20 F3 DO0 F4 F5 F6 F7 F8 F9 & 5 8 E R 3. 4. 1. 2. %23

Assume the firm's Fixed cost= $500 and the firm pays each worker $200 a) Complete the following table using the above information. Workers Output Q Marginal Fixed Cost Variable Cost Product Average Total Cost ATC Total Marginal Cost TC Cost MC MP 500 500 10 10 500 200 700 20 50 30 20 500 400 900 10 30 60 30 500 600 1100 6.6 18.3 80 20 500 I 800 1300 10 16.2 5. 90 10 500 1000 1500 20 16.6 b) How many workers are hired when the firm is at its efficient scale? c) What is the relationship between marginal cost and the average total cost? MacBook Air 20 F3 DO0 F4 F5 F6 F7 F8 F9 & 5 8 E R 3. 4. 1. 2. %23

Microeconomics A Contemporary Intro
Microeconomics A Contemporary Intro
10th Edition
ISBN:9781285635101
Author:MCEACHERN
Publisher:MCEACHERN
Chapter7: Production And Cost In The Firm
Section: Chapter Questions
Problem 18PAE
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Assume the firm's Fixed cost= $500 and the firm pays each worker $200 a) Complete the following table using the above information. Workers Output Q Marginal Fixed Cost Variable Cost Product Average Total Cost ATC Total Marginal Cost TC Cost MC MP 500 500 10 10 500 200 700 20 50 30 20 500 400 900 10 30 60 30 500 600 1100 6.6 18.3 80 20 500 I 800 1300 10 16.2 5. 90 10 500 1000 1500 20 16.6 b) How many workers are hired when the firm is at its efficient scale? c) What is the relationship between marginal cost and the average total cost? MacBook Air 20 F3 DO0 F4 F5 F6 F7 F8 F9 & 5 8 E R 3. 4. 1. 2. %23
Transcribed Image Text:Assume the firm's Fixed cost= $500 and the firm pays each worker $200 a) Complete the following table using the above information. Workers Output Q Marginal Fixed Cost Variable Cost Product Average Total Cost ATC Total Marginal Cost TC Cost MC MP 500 500 10 10 500 200 700 20 50 30 20 500 400 900 10 30 60 30 500 600 1100 6.6 18.3 80 20 500 I 800 1300 10 16.2 5. 90 10 500 1000 1500 20 16.6 b) How many workers are hired when the firm is at its efficient scale? c) What is the relationship between marginal cost and the average total cost? MacBook Air 20 F3 DO0 F4 F5 F6 F7 F8 F9 & 5 8 E R 3. 4. 1. 2. %23
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