Economies and diseconomies of scale explain: Group of answer choices the profit-maximizing level of production. why the firm's long-run average total cost curve is U-shaped. why the firm's short-run marginal cost curve cuts the short-run average variable cost curve at its minimum point. the distinction between fixed and variable costs

Q: Explain the influence of costs in the short run on a firm's output

A: Short-run is a period of time when there is some cost which cannot be varied.

Q: Which firms have diseconomies of scale over the entire range of output?  a. Firm 1 b. Firm 2 c.…

A: In the long run, as the inputs are of variable nature, a firm’s expansion activities can either…

Q: A firm's short-run average cost curve is U-shaped. Which of these conclusions can be reached…

A: Total cost is defined as the total expenses that a company or firm has to incur in order to produce…

Q: The average fixed cost curve will never Intersect with either the horizontal vertical axis

A: Note:  We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: What causes the long run costs to be U shaped a. Economies and Diseconomies of Scope b. Returns to…

A: In a market, when a firm faces U-shaped average cost curve in the long-run, it implies that the…

Q: true or false The minimum short-run average total cost occurs at a level of output that is greater…

A: The minimum short-run average total cost occurs at a level of output that is greater than that at…

Q: Say that neither labor nor machines are fixed but there is a 50 percent quick-order premium paid for…

A: Explicit costs and revenues are those financial transactions that are directly related to a decision…

Q: A firm’s product sells for $4 per unit in a highly competitive market. The firm produces output…

A: The marginal product of capital MPk is the additional output when one more unit of capital is used…

Q: Average fixed costs of production will rise at a fixed rate as more is produced. appear as a…

A: In microeconomics, the average fixed expense is the fixed expenses associated with the production…

Q: A firm pays $500,000 per year on costs that it cannot alter in the short run. This year, it expects…

A: Cost Cost refers to any expense that incur in the process of production. Total cost is made up of…

Q: onsider the production process for a Vending Machine Service. Identify the fixed costs associated…

A: Small business can be described as a partnership, privately-owned company, or sole proprietorship…

Q: . Over time Yasir decides to expand his business. In the long run he first experiences economies of…

A:

Q: 3. What causes the long run costs to be U shaped a. Economies and Diseconomies of Scope b.…

A: In a market, when a firm faces U-shaped average cost curve in the long-run, it implies that the…

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: When diseconomies of scale occur: Multiple Choice C marginal cost intersects average total cost. the…

A: Whether the firm is having economies of scale or diseconomies of scale depends upon the long run…

Q: Question 5 of 7 A firm's long-run total cost function is C 360 + 40Q = 10Q2. a. What is the shape of…

A: Given: A firm's long-run total cost function is: C = 360 + 40Q + 10Q2 To Find: The shape of the…

Q: Define and explain the following terms associated with long run production Accounting profit…

A: The short-run is the time period where at least one factor of production is fixed and others are…

Q: In the long run, the long-run average cost curve whereas in the very long run, the long-run average…

A: There are four production time periods in microeconomics, they are very short run, short run, long…

Q: Short-run average total cost      shows the minimum average total cost for each level of output…

A: Answer: Correct option: option 4 (might have a flat portion that indicates a constant average cost…

Q: The feature that distinguishes short-run from the long-run is the *       length of time it takes to…

A: Short run and long run are period of times in production of goods which differ according to the…

Q: The marginal cost curve intersects the short-run average total cost curve where: A. average…

A: Marginal Cost is the cost incurred for producing an additional unit of output.  Marginal Cost =…

Q: A producer borrows money and starts a business. He himself looks after the business. Identify…

A: Note: In the BNED Guidance, only the first question can be answered at a time. Resend the question…

Q: Minimum efficient scale for production of a good or service: Select correct one : a) is the point…

A: Answer: option c (is the rate of output at which long-run average costs reach a minimum)…

Q: A producer borrows money and starts a business. He himself looks after the Identify implicit and…

A: Answering first question as per guidelines. Explicit Costs refer to actual payments made for…

Q: Distinguish between/among The short run total fixed cost, total variable cost and total cost.

A: Hi, thank you for the question. As per our Honor code, we are allowed to attempt only first…

Q: Use the concepts of economies and diseconomies of scale to explain the shape of a firm’s long-run…

A: Economies of scale are the profits or advantages that firms earn due to their size of the operation.…

Q: Lakes region in New York State produces wine. The climate favors white wines, but reds have been…

A: A fixed cost is the cost that does not change with output. It remains fixed throughout the period…

Q: e Excel to show formulas used  Amazing is evaluating three locations for a second headquarters.…

A: Break even point = Fixed costs / (sales price per unit – variable cost per unit) · Location A Break…

Q: Question: Imagine that you own your own business, or you are the manager of a company. Please tell…

A: A business of jeans manufacturing unit in which only the jeans are manufactured. The various…

Q: Which of the following statements is generally correct? * O The long-run average total cost curve is…

A: The average total cost curve refers to the curve that provides information about the mean value of…

Q: a software production firm, average product has started falling and total output indicated…

A: A mathematical association between marginal product(MP) and average product(AP) expressing that the…

Q: In the short run, behavior of production is explained by Select one: a. The law of diminishing…

A: There are two kinds of periods faced by a business company based on the variability of its…

Q: Assume that in the short run a firm is producing 1,000 units of output, has average total costs of…

A: Here, total output given is 1,000 units. Average total cost is $100. Average total cost is defined…

Q: Total cost of the firm rely fully on the total fixed cost of the firm. True/False

A: Costs are the expenses that a firm incurs in the production of the goods and services. It is…

Q: The unlabeled red curves in this figure derive their shapes from:   a. decreasing, then increasing,…

A: The long run average cost is an envelope around all the short run average cost curves. So, the long…

Q: A firm hires two workers and rents 15 acres of land for a season. It produces 150,000 bushels of…

A: Returns to scale state the effect on the output level due to the increase in the production inputs.