Principles of Microeconomics
Principles of Microeconomics
Nimbus, Inc., makes brooms and then sells them door-to-door. Here is the relationship between the number of workers and Nimbus's output during a given day:
a. 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. (Recall that ΔTC = TC/Q.) What pattern do you see?
d. Now fill in the column for marginal cost. (Recall that MC = Δ7C/AQ.) What pattern do you see?
e. Compare the column for marginal product with the column for marginal cost. Explain the relationship.
f. Compare the column for average total cost with the column for marginal cost. Explain the relationship.
Subpart (a):
Table -1 shows the data of hours spent for fishing and the quantity of fish caught.
Table -1
| Workers | Output | Marginal product | Total cost | Average total cost | Marginal cost |
| 0 | 0 | ||||
| 1 | 20 | ||||
| 2 | 50 | ||||
| 3 | 90 | ||||
| 4 | 120 | ||||
| 5 | 140 | ||||
| 6 | 150 | ||||
| 7 | 155 |
Marginal product can be calculated by using the following formula:
Subpart (b):
Subpart (c):
Subpart (d):
Subpart (e):
Subpart (f):
Chapter 13 Solutions
Additional Business Solutions
Find more solutions based on key concepts
Show solutions addIn a system of fractional-reserve banking, even without any action by the central bank, the money supply declin...
Brief Principles of Macroeconomics (MindTap Course List)
(Characteristics of Monopolistic Competition) Why is a firm in monopolistic competition said to be competitive?...
ECON: MICRO4 (New, Engaging Titles from 4LTR Press)
The following data show the number of rental cars in service for three rental car companies: Hertz, Avis, and D...
STATISTICS F/BUSINESS+ECONOMICS-TEXT
Disregarding the possibility of a February 29 birthday, suppose a randomly selected individual is equally likel...
Probability and Statistics for Engineering and the Sciences
Advocates of taxing consumption rather than income argue that a. a consumption tax is a better automatic stabil...
Principles of Macroeconomics (MindTap Course List)
Is absolute advantage or comparative advantage more important for trade? Explain your reasoning using the examp...
Principles of Economics (MindTap Course List)
Edmund Enterprises recently made a large investment to upgrade its technology. Although these improvements wont...
Fundamentals of Financial Management, Concise Edition (MindTap Course List)
PORTFOLIO BETA An individual has 20,000 invested in a stock with a beta of 0.6 and another 75,000 invested in a...
Fundamentals Of Financial Management, Concise Edition (mindtap Course List)
What factors should be considered when selecting a site for a new manufacturing facility?
Foundations of Business (MindTap Course List)
Exercise 1-48 Income Statement The following information is available for Wright Auto Supply at December 31, 20...
Cornerstones of Financial Accounting
YIELD TO MATURITY Harrimon Industries bonds have 6 years left to maturity. Interest is paid annually, and the b...
Fundamentals of Financial Management (MindTap Course List)
Balance sheet Using the following data for Paradise Travel Service as well as the statement of stockholders equ...
Corporate Financial Accounting
Complete accounting cycle For the past several years, Steffy Lopez has operated a part-time consulting business...
Financial & Managerial Accounting
To focus on the you view, should writers scrub all uses of land from their writing? Why or why not?
Essentials of Business Communication (MindTap Course List)
Describe the four common programmed edit checks.
Accounting Information Systems
Decision on accepting additional business A manager of Varden Sporting Goods Company is considering accepting a...
Financial And Managerial Accounting
Explain whether each of the following government activities is motivated by a concern about equality or a conce...
Essentials of Economics (MindTap Course List)
Is Your Company Creative?104 An effective way to assess the creative climate of an organization for which you h...
Management, Loose-Leaf Version
Delta Air Lines is a major passenger airline headquartered in the United States. Most Delta passengers purchase...
Financial Accounting
Identify the sources of the information needed to prepare the balance sheet.
College Accounting, Chapters 1-27
On January 1, 2019, Lucas Distributors Inc. adopted the dollar-value LIFO inventory method for income tax and e...
Intermediate Accounting: Reporting And Analysis
Following is the chart of accounts of Sanchez Realty Company: Sanchez completed the following transactions duri...
College Accounting (Book Only): A Career Approach
What are the four primary elements of the database environment?
Accounting Information Systems
Discuss the importance of global marketing
MKTG 12:STUDENT ED.-TEXT
Explain how relation-ship marketing can move customers up the loyalty ladder.
Contemporary Marketing
Keep or Drop AudioMart is a retailer of radios, stereos, and televisions. The store carries two portable sound ...
Managerial Accounting: The Cornerstone of Business Decision-Making
Entries for issuing and calling bonds; gain Emil Corp. produces and sells wind-energy-driven engines. To financ...
Financial & Managerial Accounting
Warner Freight Lines Co. incurred the following costs related to trucks and vans used in operating its delivery...
Financial Accounting
Draw the demand curves for the following goods. If the price of the first good listed rises, what will happen t...
Exploring Economics
The Hawaii Visitors Bureau collects data on visitors to Hawaii. The following questions were among 16 asked in ...
Statistics for Business & Economics, Revised (MindTap Course List)
Consider the arguments for restricting trade. a. Imagine that you are a lobbyist for timber, an established ind...
Principles of Macroeconomics (MindTap Course List)
Stockholders equity accounts and other related accounts of Gonzales Company as of January 1, 20--, the beginnin...
College Accounting, Chapters 1-27 (New in Accounting from Heintz and Parry)
Divisional income statements and rate of return on investment analysis The Crunchy Granola Company is a diversi...
Accounting (Text Only)
PRESENT VALUE OF A PERPETUITY What is the present value of a 100 perpetuity if the interest rate is 7%? If inte...
Fundamentals of Financial Management, Concise Edition (with Thomson ONE - Business School Edition, 1 term (6 months) Printed Access Card) (MindTap Course List)
Question: 1. Using a key of 2 and an algorithm of adding and subtracting from alternating letters starting with...
Pkg Acc Infor Systems MS VISIO CD
What information is needed to use the wage-bracket withholding table? Where is the table found?
College Accounting (Book Only): A Career Approach
PRESENT VALUE OF A PERPETUITY What is the present value of a 100 perpetuity if the interest rate is 7%? If inte...
Fundamentals of Financial Management (MindTap Course List)
Identify each of the following goods as a nonexcludable public good, an excludable public good, or a private go...
Economics (MindTap Course List)
Evaluate the following statement: A cartel will put an end to price war, which is a barbaric form of competitio...
Economics For Today
Using Exhibit 1 in the chapter, suppose the price ceiling is 13 instead of 8. Would the consequences of the pri...
Macroeconomics
Identify the directional change in consumers surplus and producers surplus when we move from free trade to tari...
Microeconomics
Classify the following types of firms as either manufacturing or service. Explain the reasons for your choice i...
Cornerstones of Cost Management (Cornerstones Series)
Three professors must be assigned to teach six sections of finance. Each professor must teach two sections of f...
Practical Management Science
Fully depreciated equipment costing 50,000 was discarded. What was the effect of the transaction on cash flows ...
Corporate Financial Accounting
Vertical analysis The condensed income statements through operating income for Apple Inc. and 8est Buy Co. Inc....
Survey of Accounting (Accounting I)
Adams, Inc., pays its employees weekly wages in cash. A supplementary payroll sheet that lists the employees na...
PAYROLL ACCT.,2019 ED.(LL)-TEXT
What happens if a supplier cannot meet a purchasers initial target price? How is this issue resolved?
Purchasing and Supply Chain Management
