If marginal cost is greater than average total cost, then average total cost must be increasing. Group of answer choices True False

Q: economies of scale, followed by diseconomies of scale. increasing costs, followed by decreasing…

A: The average cost is the per unit cost of production . It can be determine by dividing the total cost…

Q: When average total cost is at its minimum a.marginal cost is equal to average fixed cost. b.average…

A:

Q: If total cost is $100 and output is 13 units  Calculate the value of average cost

A: The given information is as follows:- Total cost of the firm = $100 Output = 13 units  We need to…

Q: 1 Average fixed cost equals a. Average total cost minus average variable cost b. Total variable cost…

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

Q: Find total cost if fixed cost and variable cost are $300 and $100 respectively

A: The data presented in the question above is:- Fixed cost of firm = $300 Variable cost of firm = $100…

Q: A firm manufacture robots, for which $10000 machinary is used. The additional per unit cost is $100.…

A: Fixed cost of production  = $10000 Variable costs  of production = $100 Number of units produced = 5

Q: Calculate the value of total cost if fixed cost is $10 and variable cost is $22

A: The Given information is follows:- Fixed cost of firm = $10 Variable cost = $22 We have to find…

Q: Which of the following is the best example of a variable cost? O annual insurance payments for a…

A: The production of the various goods and services involves the cost of production. The cost of…

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: An owner of a firm estimates that the average total cost is $6.71 and the marginal cost is $6.71 at…

A: The information given here indicates that the average total cost, as well as the marginal cost of…

Q: 1 Average fixed cost equals a. Average total cost minus average variable cost b. Total variable cost…

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

Q: True or False Total cost can increase as a result of an increase in variable cost.

A: Total cost It refers to all of the costs and expenses incurred throughout the manufacturing process.…

Q: Calculate average cost when total cost is $100,000 and output is 74 units

A: We are given that:- Total cost incurred by the firm = $100,000  Total output = 74 units

Q: A small plant manufactures riding lawn mowers. The plant has fixed costs (leases, insurance, and so…

A: Costing is a critical component of running a business. We usually divide the cost of any…

Q: If marginal cost is less than the average variable cost and output increases, average total cost…

A: Average variable cost(AVC) is the ratio of total variable cost(TVC) to output(Y). Average total…

Q: Minimum average costs occur when: Select an answer and submit. For keyboard navigation, use the…

A: When firms operate in a market, they incur fixed costs and variable costs. Fixed costs do not depend…

Q: Marginal cost is plotted (as an approximation) halfway between successive units of output. a. True O…

A: Costs represent the expenses that firms incur during their production activities. A firm incurs…

Q: If average cost is increasing over a range , it should be the case that a) marginal cost is smaller…

A: When MC < ATC, in this range ATC is decreasing. When MC > ATC, in this range ATC is…

Q: The minimum average cost occurs when the average cost is equal to the marginal cost.

A: The total cost incurred by a firm includes fixed cost and variable cost. Fixed costs are the costs…

Q: If marginal cost is equal to average total cost then, (a) Average total costs are falling (b)…

A: Marginal cost depicts additional cost incurred in order to produce an additional unit of output.

Q: If total cost is $600 and output is 10 units Calculate average cost

A: According to the above mentioned question, we have:- Total cost= $600 Output = 10 units  Average…

Q: According to Accountants cost of production consists of both explicit and implicit cost ………………. a)…

A: (b) - False

Q: Differences between implicit cost and explicit cost

A: Explicit costs are defined as those costs which leads to an outlay of cash from the business. It is…

Q: ABC Company issued a payment for the suppliers of raw materials they used in producing their goods.…

A: Fixed cost is the costs that needs to paid every month or year whether the production process is…

Q: Ouput Total Cost 0 $ 10 1 20 2 28 3 38 4 53 5 73 6 98   Refer to the provided table. The total…

A: Variable cost are the cost which is variable in nature by changing this factor we increases 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: 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: Define the term Cost Reduction?

A: Cost reduction is the mechanism that businesses use to cut costs and increase profits.

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: A company is planning to manufacture mountain bikes. Fixed monthly cost will be $100,000 and it will…

A:

Q: variable production cost and the price of a product were both reduced by $1.00 per unit, which of…

A: Variable cost is the cost which keeps on changing with the change in the output level. Variable 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: If marginal cost is less than the average variable cost and output increases, average total cost…

A: Meaning of Cost: The term cost refers to the situation under which a firm occurs various expenses…

Q: The Framing Gallery frames posters and has total fixed costs of $1,000. The Framing Gallery is…

A: Answer: Any production activity composed of fixed costs and variable cost, fixed cost remains fixed…

Q: When the production starts, the value of Total fixed cost is 0 True/False

A: # The value of total cost is given by combining together the fixed costs and the variable costs…

Q: True or false:  a change in fixed costs will change average total cost. a.True b.False

A: The measure that depicts the expenses that are incurred for carrying day-to-day expenses of the…

Q: A marginal cost fiction C'(q) is given in the figure below. If the fixed costs are $10,000,…

A: Marginal cost is defined as the cost of producing an additional unit of the output. Marginal cost is…

Q: True or False The average total cost cannot equal marginal cost.

A: Average total cost It refers to the total cost per unit of production. ATC = TC/Q where ATC is…

Q: What will be the value of average fixed cost if total fixed cost is $350 and the output is 50

A: Given information: Total fixed cost: $350 Output: 50 To find: Average fixed cost

Q: A book publisher hires editors, designers, and production and marketing managers who help prepare…

A: In the production process, the company has to bear different types of cost. In the publication of…

Q: Deviations from standard costs can be caused by I. Variations in the per unit cost of labor and/or…

A: The standard cost is estimated in the beginning of the production or an estimated cost of producing…

Q: d. Show that the cost function is non-decreasing in w,r and q.

A: Cost function is non- decreasing in w, r and q

Q: The variable cost per unit varies with output, whereas the fixed cost per unit is constant." Do you…

A: Total variable cost (TVC) is the total cost component that changes with a change in output, so AVC =…

Q: Marginal variable costs and marginal total costs are the same. True False

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

Q: If marginal cost is less than the average variable cost and output increases, average total cost…

A: Total cost is the sum of total variable cost and total fixed cost. Total variable cost changes with…

Q: Which of these will have lower values as the quantity produced increases? a. Fixed cost per unit b.…

A: Fixed Cost remains fixed at all levels of output. Average Fixed Cost or fixed cost per unit…