Douglas Fur is a small manufacturer of fake-fur boots in New York City. The following table shows the company's total cost of production at variousproduction quantities.Fill in the remaining cells of the following table.Variable CostAverage Variable CostAverage Total CostQuantityTotal CostMarginal CostFixed Cost(Dollars)(Dollars)(Dollars)(Dollars per pair)(Dollars per pair)(Pairs)(Dollars)12012002402854340425540On the following graph, plot Douglas Fur's average total cost (ATC) curve using the green points (triangle symbol). Next, plot its average variable cost(AVC) curve using the purple points (diamond symbol). Finally, plot its marginal cost (MC) curve using the orange points (square symbol). (Hint: ForATC and AVC, plot the points on the integer; for example, the ATC of producing one pair of boots is $200, so you should start your ATC curve byplacing a green point at (1, 200). For MC, plot the points between the integers: For example, the MC of increasing production from zero to one pair ofboots is $80, so you should start your MC curve by placing an orange square at (0.5, 80).)Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically.?.200 On the following graph, plot Douglas Fur's average total cost (ATC) curve using the green points (triangle symbol). Next, plot its average variable cost(AVC) curve using the purple points (diamond symbol). Finally, plot its marginal cost (MC) curve using the orange points (square symbol). (Hint: ForATC and AVC, plot the points on the integer; for example, the ATC of producing one pair of boots is $200, so you should start your ATC curve byplacing a green point at (1, 200). For MC, plot the points between the integers: For example, the MC of increasing production from zero to one pair ofboots is $80, so you should start your MC curve by placing an orange square at (0.5, 80).)Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically.200175ATC150125AVC100MC50256.QUANTITY (Pairs of boots)COSTS (Dollars per pair)

Fill in the remaining cells of the following table. Average Variable Cost (Dollars per pair) Average Total Cost (Dollars per pair) Variable Cost Marginal Cost (Dollars) Quantity Total Cost Fixed Cost (Pairs) (Dollars) (Dollars) (Dollars) 120 1. 200 240 285 4 340 425 6 540

Fill in the remaining cells of the following table. Average Variable Cost (Dollars per pair) Average Total Cost (Dollars per pair) Variable Cost Marginal Cost (Dollars) Quantity Total Cost Fixed Cost (Pairs) (Dollars) (Dollars) (Dollars) 120 1. 200 240 285 4 340 425 6 540

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter6: Proudction Costs

Section: Chapter Questions

Problem 8SQP

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