Microeconomics: Principles, Problems, & Policies (McGraw-Hill Series in Economics)
20th Edition
ISBN: 9780077660819
Author: Campbell R. McConnell, Stanley L. Brue, Sean Masaki Flynn Dr.
Publisher: McGraw-Hill Education
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Chapter 10, Problem 2P
To determine
Total revenue and marginal revenue.
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A purely competitive wheat farmer can sell any wheat he grows for $10 per bushel. His five acres of land show diminishing returns because some are better suited for wheat production than others. The first acre can produce 1,000 bushels of wheat, the second acre 900, the third 800, and so on. Draw a table with multiple columns to help you answer the following questions. How many bushels will each of the farmer’s five acres produce? How much revenue will each acre generate? What are the TR and MR for each acre? If the marginal cost of planting and harvesting an acre is $7,000 per acre for each of the five acres, how many acres should the farmer plant and harvest?
A purely competitive wheat farmer can sell any wheat he grows for $10 per bushel. His five acres of land show diminishing returns because some are better suited for wheat production than others. The first acre can produce 1,000 bushels of wheat, the second acre 900, the third 800, and so on. Instructions: Enter your answers as a whole number. a. Use the table below to help you answer the following questions.. How many bushels will each of the farmer’s five acres produce? How much revenue will each acre generate? What are the TR and MR for each acre?
Create a table with the amount of acres (1-5), that acre's yield (bushels), that acre's revenue, TR, and MR.
b. If the marginal cost of planting and harvesting an acre is $7,000 per acre for each of the five acres, how many acres should the farmer plant and harvest?
acres
A purely competitive wheat farmer can sell any wheat he growsfor $10 per bushel. His five acres of land show diminishingreturns because some are better suited for wheat productionthan others. The first acre can produce 1,000 bushels of wheat,the second acre 900, the third 800, and so on. Draw a table withmultiple columns to help you answer the following questions.How many bushels will each of the farmer’s five acres produce?How much revenue will each acre generate? What are the TR
and MR for each acre? If the marginal cost of planting and har-vesting an acre is $7,000 per acre for each of the five acres, howm any acres should the farmer plant and harvest?
Note:- Don't use pen or paper
Chapter 10 Solutions
Microeconomics: Principles, Problems, & Policies (McGraw-Hill Series in Economics)
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