If AFC is $18 at a quantity of output of 200 units, and ATC is $27 at the same quantity of output, it follows that O marginal cost is $10. O total cost is $5,400. O AVC is $11. O marginal cost is $9.
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- Please fill out the missing figures Output Total Cost (TC) Total Fixed Costs (TFC) Total Variable Cost (TVC) Marginal Costs (MC) 0 100 ? ? ? 1 160 ? ? ? 2 200 ? ? ? 3 228 ? ? ? 4 260 ? ? ?Q.1. Pak surgical makes masks and then sells them on door to door. Here is the relationship between number of workers and Pak surgical output in each day:Workers Output Marginal ProductTotal Cost Average total costMarginal cost0 01 102 403 804 1105 1306 1407 145a) Fill in the column of marginal products. What pattern do you see? How might you explain it?b) A worker costs $100 a day, and the firm has fixed costs of $200. Use this information to fill in the column for total cost.c) Fill in the column for average total cost. What pattern do you see?d) Now fill in the column for marginal cost. What pattern do you see?e) Compare the column for marginal product and the column for marginal cost. Explain the relationship.f) Compare the column for average total cost and the column for marginal cost. Explain the relationship.Q.2. (a) Define economies of scale and explain why they might arise. Define diseconomies of scale and explain why they might arise. Also draw the long run average total cost…A print shop wants to expand production. It currently has 20 workers and 8copiers and recently added two copiers which increased daily output by100,000. They also added 4 workers which increased output by 80,000. Eachcopier costs twice as much as hiring an extra worker. What is the best courseof action: hiring another employee, or buying an extra copier
- If Boeing produces 9 jets per month, its long-runtotal cost is $9 million per month. If it produces10 jets per month, its long-run total cost is$11 million per month. Boeing exhibitsa. rising marginal cost.b. falling marginal cost.c. economies of scale.d. diseconomies of scaleNimbus Ltd. makes brooms and then sells them door to door. Here is the relationship between the number of workers and Nimbus’s output in a given day:Average Total Cost36Output0130270120451601907210220Marginal ProductTotal CostMarginal Costa. Calculate and fill in the column of marginal products. What pattern do you see? How might you explain it? Hints: show your calculations. b. A worker costs $150 per day, and the firm has fixed costs of $300. Use this information to calculate and fill in the column for total cost. Hints: show your calculations. c. Calculate and fill in the column for average total cost. (Recall that ATC=TC/Q.) What pattern do you see? Hints: show your calculations.if a firm hire workers at $3 week , labour is 1 and output is 6 what is the fixed cost, variable cost, total cost, AVC, ATC and MC.
- Gull Roza is a florist specializing in floral arrangements for weddings, graduations, and other events. Gull Roza has a fixed cost associated with space and equipment of $50 per day. Each worker is paid $80 per day. The daily production function for Gull Roza is shown in the accompanying table. Quantity of Labor (workers) Quantity of floral arrangements 0 0 1 110 2 200 3 270 4 300 5 320 6 320 Calculate the marginal product of each worker. Calculate the marginal cost, Average total cost, and average variable cost of each level of output.[MUST SHOW WORK]Suppose Kim is running a digital start up company. She had total costs of $10,000 providing service to 2,000 customers last month. Her company charges $32 a month to provide its services. This month she is predicting 3,000 customers. Her company has economies of scale if Select one: A. average total costs are more than $5. B. total revenue is $96,000. C. marginal cost is less than $32. D. total costs are less than $15,000. E. the number of customers is increasing more each month. Clear my choice.Marginal cost is $26, and Average total cost is $33 when 20 units are produced. What will happen to the average total cost when the 21’st unit is produced.?
- 2.1 Discuss the relationship that exists amongst the three short-run total cost curves. Motivate your answer with the aid of a diagram. (15)2.2 Explain in detail, the shape of the individual supply of labor curve. Illustrate your answer with the aid of a diagram.the orange square points on the marginal cost curve from low to high(16,12) (24,20),(30,36),(32,44),(34,52),(38,72)X and Y are factors of production. X's marginal product is 30 and Y's marginal product is 20. X=5 dollars for each unit, Y= 4 dollars for each unit. Since Y costs less than X, can the firm keep produce the same output at a cheaper cost by using less of X and more of Y? Explain why or why not.
