Q: Over-production results in
A: Over Production refers to the situation when the firm produces quantity of goods more than its…
Q: Explain the producer’s equilibrium with the help of least cost factor combination, necessary and…
A: The producer is in equilibrium when he gets maximum profit. The producer under the perfect market…
Q: The area under the supply curve represents _____. the fixed cost of producing the good or…
A: The demand curve illustrates the relationship between the quantity demanded and the price of a good.…
Q: Please tell me which multiple choice are correct Excess supply in a competitive market with…
A: Excess supply in a competitive market with no intervention Will lead to a rise in price. Answer is…
Q: Identify markets in which you act as a buyer/demander and markets in which you act as a…
A: The buyer/demander is a person, who wants to fulfill his/her requirement by purchasing the goods and…
Q: If Q is the output level that represents the firm's output, and suppose the market price is…
A: The given situation can be presented as:-
Q: The data below shows a tabulation on the production of a hypothetical product: Output (Q) Total Cost…
A: Average Variable Cost = Variable Cost / Output Marginal Cost = Change in Total Cost / Change in…
Q: The market for drones is perfectly competitive. Assume for simplicity that fractions of everything,…
A: Market is perfectly competitive , so the optimal point of production is where the price equals the…
Q: npetitive market has a cost function of C=5+ q? e market demand function is Q=420-p. termine the…
A: In a perfectly competitive market there are large number of firms producing similar and identical…
Q: Question 5 The demand curve for an input is also its entire marginal revenue product curve True…
A: (MR) is the expansion in income that outcomes from the offer of one extra unit of result. While…
Q: Immagine a firm in a competitive market comes up with a new production method, which halves its…
A: Competitive market: - it is a market condition where there are many buyers and many sellers in the…
Q: The table below shows the total product for Car Suds, a car wash service. The market for car washes…
A: "As per the question the market for car washes is perfectly competitive and in order to maximize…
Q: A competitive, profit-maximizing firm pays its workers a wage of $500 per day. The last worker they…
A: Given, Quantity = 20 units/day Total cost = $500/day Marginal cost = TCQ
Q: identify which of production level that marginal revenue decreases start to occur (with supposition…
A: A) Marginal revenue tend to decrease from the output level of 7 as it is minimum level and after…
Q: The Impact of a large decline in demand in perfect completion in the short-run is this: a. Price…
A: What does it mean to have a market that is completely competitive? There are no monopolies under a…
Q: A firm supply curve is upsloping because: the expansion of production necessitates the use…
A: A firm enters the market and supplies specific products or services to make a profit from selling…
Q: The table shows the marginal cost C'00, the marginal revenue R'(x) for producing x items. The third…
A: Marginal cost(MC) is the addition to cost in producing one more unit of output. Marginal revenue(MR)…
Q: CHECK ALL THAT APPLY: A change in input prices the price of a complement good consumer income…
A: Supply: Supply for a commodity can be defined as the number of goods and services that are being…
Q: n long run market supply it is a factor prices rise as new firms enter the market and existing firms…
A: The industry supply curve for increasing cost industry is more inelastic. In long run, firms are…
Q: ________ is the cost of using resources to produce another unit of a good. a ) Price. b )…
A: Price refers to the cost of a good at which consumers buy goods and services. This is the value of…
Q: Which one of the following labor resources will likely have the most inelastic supply schedule in…
A: Inelastic supply means, change in price (wage) does not make drastic impact on the supply of labor.
Q: In the given diagram, BDE represents the average variable cost and BCDF represents the marginal cost…
A: ANSWER IS GIVEN BELOW
Q: f the perfect competition existed everywhere, along with frictionless exchange, perfect information,…
A: Perfect competition is a type of market structure in which there are large number of buyers and…
Q: Chris runs a shop that sells paper. Chris's consumers consider his products to be the same as his…
A: Answer: option c (three tons a day) Explanation: Since Chris's and his competitor's products are the…
Q: In general, a firm will stop production when the price no longer covers its fixed costs. True…
A: Answer to the question is as follows :
Q: In the given diagram, BDE represents the average variable cost and BCDF represents the marginal cost…
A: the average variable cost is the variable cost per unit. Average variable cost is determined by…
Q: Producer surplus is equal to: (Choose one from below) A. the firm's short-run profits B. total…
A: In the market transactions, the consumers and the producers gain benefits by interacting with each…
Q: (dollars) 0 MC MR 40 45 50 Quantity is currently producing 40 units of output. What would you advise…
A: Firm maximizes its profit where the MR is equal to the MC. Condition : MR = MC.
Q: Critical Thinking 1: The diamond-water paradox In “An Inquiry into the Nature and Causes of the…
A: Adam Smith, also known as the father of economics, wrote a book "The Wealth of Nations". In this…
Q: Which of the following indicates an item to be a good candidate for outsourcing? 1) The item is…
A: In-house workers are those workers who perform their activities within the organizational…
Q: Market failure occurs when A) resources are misallocated or allocated inefficiently. B)…
A: Market failure refers to when the market is in disequilibrium condition because of market…
Q: A friend of mine is an artist. She mostly paints landscape pictures. They take a bit of time, but…
A: Unit cost of painting means Average cost of painting or Minimum of ATC . ATC = Cost / q
Q: If a single supplier produces such a small portion of the total market output that changes in its…
A: To determine the impact of the change in production by a supplier who supplies very small proportion…
Q: The development of a new production technique that lowers the cost of producing product X will shift…
A: The law of supply refers to the direct or positive relationship between the quantity supplied of a…
Q: . When price increases __________________ increases. 2.When price increases…
A: The demand refers to the quantity that consumers are willing to purchase with their given income and…
Q: TFC= Total Fixed Cost Q= Quantity of Output Marginal Cost TVC= Total Variable Cost MC = p= Product…
A: average of some cost is determined by total dividing total no. of quantity.
Q: Each point on a supply curve representsA) the highest price sellers can get for each unit over…
A: Supply curve: It refers to the representation of the cost of goods and services and the quantity…
Q: How does underutilization of resources leads to Surplus? Why is it important to the organization to…
A: In an economy, surplus refers to the situation when the demand for a specific product or item is…
Q: An increase in the cost of an input will cause the supply curve of the output to shift left. a.…
A: Supply curve reflects the positive relationship between price and supply of goods. There are various…
Q: Which of the following is an element of the (supply chain )? a sourcing b manufacturing C…
A: A supply chain begins with the determination of crude materials to deliver labor and products and…
Q: The value of a firm's marginal product of labor (MVPL) equals the marginal revenue product of labor…
A: In the labor market, marginal product explains an additional amount of output generated by an…
Q: Production for which P = CPT enables the competitive producer to maximize profits or minimize…
A: In a competitive market marginal revenue is equal to marginal cost at equilibrium.
Q: To sell one more unit of output, the seller must make one more and sell it for less than the price…
A: Marginal revenue is the additional revenue earned with an additional unit sold. Demand curve is…
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- What is marginal cost? Fixed cost?To make a decision about opening a restaurant, what is the relevant cost for Aram? $50 thousand has been spent to date on renovating the place. Aram could be earning $ 100 thousand a year as a chef. Additional labor and other costs necessary to open the restaurant equal $ 60 thousand a year. Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. $ 160 thousand a b. $ 60 thousand $ 210 thousand $ 110 thousand $ 50 millionThe table below displays cost information for the production of volleyballs. Fill in the missing values corresponding to the empty cells. Quantity Average Variable Cost Fixed Cost Variable Cost Total Cost Marginal Cost 30 30 n/a 1 12 12 25 D 3 A 72 14 F A = type your answer. B = type your answer. C= type your answer. D= type your answer. E = type your answer.. F = type your answer.
- The table below shows the cost of producing model vintage cars for collectors. Instructions: Enter your answers as a whole number. a. Complete the marginal cost column in the table. Vintage Model Car Production Costs Total Fixed Cost Total Variable Cost (dollars) Total Cost (dollars) $2,000 (dollars) $2,000 Marginal Cost (dollars) Output $0 1 2,000 600 2,600 2,000 1,100 3,100 2,000 1,900 3,900 4 2,000 2,900 4,900 5. 2,000 4,150 6,150 b. What is the total cost of producing 4 vintage model cars? 2. c. What is the marginal cost of producing the 4th vintage model car? 2.In the short run marginal cost crosses average total cost at the minimum of average total cost True or False?The cost function of producing Q units of good: C(Q) = 4Q2 + 16Q + 40 Write down the average cost and marginal cost. Find the value of Q whichminimizes average cost? (Show necessary and sufficient conditons)
- The following table shows data for quantity (Q), variable cost (VC), and fixed cost (FC) for a ski company. a) Fill the table for total cost (TC), average variable cost (AVC), average total cost (ATC), and marginal cost (MC). Make sure to show your work for at least one line. Q VC FC TC ATC AVC MC 30 1 10 30 25 30 3 45 30 4 70 30 100 30 6 135 30 b) Now suppose the firm decides to produce a quantity of 5 units (Q=5), and it sells for a price of $25 each. Answer the following: 1. Calculate the company's profits or losses 2. How can you tell at a glance whether the company is making or losing money at this price by looking at average cost? 3. At the given quantity and price, is the marginal unit produced adding or subtracting to profits? Should the fırm produce at this level of output?Marginal product will eventually go down because of the law of diminishing marginal utility. the law of diminishing returns. economies of scale. all of the above.What are the fixed and variable cost?
- Jane’s Juice Bar has the following cost schedules:a. Calculate average variable cost, average total cost, and marginal cost for eachquantity.b. Graph all three curves. What is the relationship between the marginal-cost curveand the average-total-cost curve? Between the marginal-cost curve and the averagevariable-cost curve? Explain.Marginal cost tells us a. the amount fixed cost rises when output rises by one unit b. the marginal increment to profitability when price is constant c. the value of all resources used in a production process d. the amount total cost rises when output rises by one unitA price-taking firm makes air conditioners. The market price of one of its new air conditioners is $130. The firm's total cost information is given in the table below: Instructions: Calculate marginal cost, and enter your responses as whole numbers. Air conditioners per day Total cost Marginal cost ($ per day) ($ per day) 1 100 100 2 150 3 220 4 310 5 405 6 510 7 650 8 800 How many air conditioners should the firm produce per day if its goal is to maximize its profit? air conditioners per day.
