Q. Table 3 above shows how output varies with only one variable input used in production. If the cost of a unit of labor is $500, what is the approximate marginal cost of the 230th unit of output? a. $2.50 b. $8.50 c. $12.50 d. $50.00 e. $100.00

Q. Table 3 above shows how output varies with only one variable input used in production. If the cost of a unit of labor is $500, what is the approximate marginal cost of the 230th unit of output? a. $2.50 b. $8.50 c. $12.50 d. $50.00 e. $100.00

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter5: Business And Economic Forecasting

Section: Chapter Questions

Problem 1.2CE: Plot the logarithm of arrivals for each transportation mode against time, all on the same graph....

See similar textbooks

Related questions

Q: If the law of diminishing returns did not hold, we can produce a the food the world needs in one…

A: In economics, diminishing returns is the decrease in marginal output of a production process as the…

Q: Fill in the gaps in the table below. (Enter your responses rounded to two decimal places.) Quantity…

A: Step 1:The general formulas to determine the total output (TP), the marginal production cost of…

Q: Explain in words why the Law of Diminishing Marginal Returns implies that there are increasing…

A: Law of diminishing marginal returns states that, as the production is continuous using factor of…

Q: Use the following information on a hypothetical short-run production function to answer questions…

A: The law of diminishing marginal returns states that, in a production process, the successive…

Q: What is the variable cost of production ( per month)

A: Variable Cost = Labour Cost+Ingredients+electricity Variable Cost =4.00+2.00+0.20 Variable Cost…

Q: Which of the following are true (check all that apply) Note: IRTS=increasing returns to scale,…

A: Cobb-Douglas production function represents the relationship between the inputs used and the total…

Q: The question is based on the following table, which provides information on the production of a…

A: It refers to the change in the total product when additional units of input are added. Marginal…

Q: Indicate how each of the following would shift the (1) marginal- cost curve, (2)…

A: "Since you have asked a question with multiple sub-parts, we will solve the first three sub-parts…

Q: 1. Suppose a chair manufacturer is producing in the short run (with its existing plant and…

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

Q: 11. In any production process, the marginal product of labor equals A. the value of total output…

A: "Since you have asked multiple questions, we will solve first question for you .. If you want any…

Q: Suppose a firm produces cars and the minimum efficient scale is 2,000,000 cars. The inputs are labor…

Q: My candy bar company made 100 million bars last year, sold for $1 each. I also paid 100 people last…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: 3. Many production functions have a property called constant returns to scale, about constant…

A: In economics, the term "returns to scale" refers to the quantitative change in output that a company…

Q: While the technology level and the amount of other inputs are constant, as the amount of bit input…

A: Factors are classified into two types: variable inputs and the fixed inputs. Variable inputs vary…

Q: 2.1 The following table gives total output or total product as a function of labor units used. Labor…

A: The process in which inputs are combined in order to produce or make something to be used as an…

Q: 4. Characterize the returns to scale of the production function (a) (doing the same for production…

A: Solution for 4b: Production function: y = ln (1 + x1x2 + x1x3 + x2x3 )

Q: 6. Which of the following are true (check all that apply) Note: IRTS=increasing returns to scale,…

A: ‘Return to scale’ means refers to the change in productivity i.e. proportion change in output(Y) due…

Q: Assume that labor and capital are the only inputs used by a firm. Capital is fixed at 5 units, which…

A: Total cost consists of fixed cost and variable cost. Fixed cost is independent of output and…

Q: Q7. Provide your own examples for the questions below. a. An example for economies of scale using…

A: Economies of scale occur when the average cost of production decreases as output increases.…

Q: A firm is using 500 units of capital and 20O units of labor to produce 10,000 units of output.…

A: The Production function is a combination of Labor and capital f(K,L) = wL + rK where w= Price of…

Q: Your product sells for $5 per unit, labor costs $5 per unit, and the rental price of capital is $20…

A: Capital and labor are the two inputs used in the production of goods and services. These are also…

Q: Why does the marginal cost of production typically increase as the amount of output produced…

A: Marginal cost is the additional cost incurred to produce an additional unit of output.

Q: 1. What is the total cost of the engine? 2. What is the total direct labor cost? 3. What is the…

Q: 2. (a) If a production function exhibits decreasing returns to scale and the quantity of all inputs…

A: Decreasing returns to scale (DRS) holds when a proportional increase in all inputs ends up in a rise…

Q: Your product sells for $5 per unit, labor costs $5 per unit, and the rental price of capital is $20…

Q: 6. A general version of the Cobb-Douglas production function can be written as f(#1,..,In) = '.…

A: The Technical Rate of Substitution (TRS) is the rate at which one input must decrease so that the…

Q: Which of the following is an implicit cost of production? 16: A) the utility bill paid to…

A: please find the answer below.

Q: 1. What is the cost of the engine block? 2. What is the direct labor cost? 3. What is the total cost…

A: A part of the wage bill or payroll that can be specifically and consistently assigned to or…

Q: A firm’s only variable factor is labour and it produces a single product, X. It also has fixed…

Q: Draw labeled graph according to the question: The change in the optimal capital-labor ratio if both…

A: If both the inputs(labour and capital) are perfect complements in production, they are to be used…

Q: True or false. In general, production can display diminishing returns in all variables but still…

A: Diminishing returns are defined as a decrease in output due to an increase in the input after an…

Q: 1. Assume a daily production function for a firm is Q=min(3L, 4K) a. If L 100 and K = 100 what…

A: Here we calculate the followings terms of production and cost by using the given information and…

Q: 2. A student foregoes her annual summer job (paying in total $3,200) in order to operate a sandwich…

A: Opportunity cost(OC) is the value of benefits that are sacrificed from the next best alternative as…

Q: A farmer raises apples using land (K) and labor (L), and has an output of ? (?,?) = ? 0.5 ? 0.5…

A: given, production function as: QK,L=K0.5L0.5 where Q is the level of output K is the level of…

Q: A firm’s only variable factor is labour and it produces a single product, X. It also has fixed…

A: Since you have asked multiple questions, we will solve the first three questions for you. If you…

Q: Please only answer d Consider the following Cobb-Douglas production function: Y = 10 L^0.4 K^0.4.…

A: Answer - Need to find- Effect on the total costs when wage increase from 20 to 30 Given wage Bill…

Q: Hammas Dadani operates a business and uses the following table for total output or total product as…

A: 1. Marginal Product of Labor (MPL) The marginal product of labor is the increase in total production…

Q: 1. What is the fixed input use in this production? 2. What is the variable input use in this…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: In the production process, both the average product and marginal product of the variable input rise…

A: The average product is the average amount of output produced by a variable input. It is computed as…

Q: Question 14 Consider a newspaper with production function f(L,K)= 4min{L,K}, where L is the units of…

A: The production function is shown in white board.f (L, K) = 4 min {L, K}Where, L is the units of…

Q: A firm’s only variable factor is labour and it produces a single product, X. It also has fixed…

A: Since you have asked multiple questions, we will solve the first two questions for you. If you want…

Q: 3. An electronics plant's production function is Q = 5LK, where Q is its output rate, L is the…

A: Given:- Here we have, Q=5LK, where labour = L=$1 per unit and capital = K=$2 per unit also Q=1000…

Q: What is the optimization condition for economically efficient use of energy in production in the…

A: In the short run, the optimal production occurs at the following point. MR = Price of input / Price…

Q: Problem -2: The following table gives total output or total product as a function of labor units…

A: Diminishing returns occur when after addition of certain units of input,total product starts to…

Concept explainers

Factors of Production

Factors of production – in simple words means the factors that are used for producing any product or service. This includes the resources which are necessary for the manufacturing of products. Factors of production are also known as the building blocks of the economy.

Question

Q. Table 3 above shows how output varies with only one variable input used in production. If the cost of a unit of labor is $500, what is the approximate marginal cost of the 230th unit of output?

a. $2.50

b. $8.50

c. $12.50

d. $50.00

e. $100.00

Table 3: Refer to the following table for questions 17, 18 and 19.
Units of
Units of
Labor
Output
1
60
2
130
3
190
4
230
250

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Question 9 Trenny has asked her assistant to prepare estimates of cost of two different sizes of power plants. The assistant reports that the cost of the 150 MW plant is $220,000,000, while the cost of the 270 MW plant is $400,000,000. If Trenny has a budget of only $300,000,000, estimate how large a power plant she could afford using linear interpolation (Enter your answer rounded to one decimal place and in MW eg. XX.X)?
Use this data and develop a model of a truck's annual maintenance expenses based on its weekly usage in hours. If the truck's weekly usage is 25.3 hours, we should expect its annual maintenance expense to be: (Keep one decimal place) Weekly Usage (hours) Annual Maintenance Expense 13 17.0 10 22.0 20 30.0 28 37.0 32 47.0 17 30.5 24 32.5 31 39.0 40 51.5 38 40.0
The time to assemble the first unit on a production line is 13 hours. The learning rate is 0.81. Approximately how long will it take for the eighth unit to be assembled? The number of hours needed for yhe eighth unit to be assembled is ? hours. (Round the one decimal place.)
Q6 Suppose that at time t=0, half of a "logistic" population of 100000 persons have heard a certain rumor and that the number of those who have heard it is then increasing at the rate of 500 persons per day. How long will it take for this rumor to spread to 80% of the population? ( Suggestion: Find the value of k by substituting P(0) and P'(0) in the logistic equation) a. About 98 days b. About 34 days c. About 19 days d. About 69 days e. About 119 days
Please answer the correct answer ASAP please Don't answer by pen paper please calculation correct
Use the function below (whose parameters qualify it as a STC function) to answer the questions. STC = 4850 + 40Q - 1.5Q^2 + .04Q^3 FC = $4,850 AFC = 4,850 / Q (I calculated this) AVC = 40 - 1.5Q + .04Q^2 (I calculated this) MC = 40 - 3Q + 0.12Q^2 (I calculated this)
plz solve this question in 30-40 min, I will definitely give you multiple upvotes
pls solve this ques in 10-15 minutes I'll give you multiple upvotes.
Please answer the correct answer ASAP please calculation please Don't answer by pen paper please ASAP