dptr (oA. Problems A1. A firm has a fixed amount of capital (K) equal to 10...
Assume that for each period the price of capital is $2 per unit and the wage is $10 How does MP and MC compare? Click in the MC of the 30th unit of ouptut. L k VCTC ATC AVC AFC MC 0 1 2 3 4 10 10 10 10 10 q 0 10 30 45 50 MP, AP, FC -- -- 10 10 20 15 15 15 5 12.5
Find FC, VC, TC, AFC, AVC, ATC, and MC from the following table. Capital costs $50 per unit, and two units of capital are used in the short run. Labor costs $20 per unit. 7. Total Cost Average Average Marginal Variable Cost |(MC) Fixed Units of Units of Variable Average Fixed Labor (L) Cost (FC) Cost (VC) (TC) Total Cost Output (ATC) (Q) Cost Cost (AFC) (AVC) 0 0 1 2 2 4 3 6 4 8 10
Let's assume the following for a competitive firm: Fixed Cost = $100. The only variable input the firm has is Labor, which it pays the current minimum wage of $7.25/hr. Each unit of Labor works a total of 40 hr/week. So, one unit of Labor cost the firm $290 (1 unit of Labor * $7.25/hr * 40 hr/week). The current Price in this market is $15/unit. Use the information above to fill out the chart below (45 points): MPL TC...
Table 1. Production and Cost Functions of a Firm Suppose K is the fixed input and L the variable input. Price of K = $6; Price of L =? TP TC FC K MP VC ATC AFC MC AVC 0 5.00 4 10 3 10 8 5 32 7 33 1. Refer to Table 1. Price of L = $ 29 O 4 LO N
Consider a competitive firm that produces bots. Labor (L) and capital (K) are the only two inputs of production; each unit of labor is paid the market wage (w), and each unit of capital is rented at the rental price of capital (r). Output (Y) is therefore a function of labor and capital, or Y = f (K, L), and is sold at the market price (P). The goal of this firm is to maximize profit given the price of...
Assumingthatthepriceoflaboris et labeledExerciserable.xisxtodo w- 10 and the price of capital is r 40, use Table 1 from the Excel sheet labeled Exercise2Table.xlsx to do the following: 1. Complete Table 3 2. If the firm can sell the good being produced at $73 per unit, determine whether the firm should produce and sell 1,2 or 4 units. 3. Complete Table 4 by determining the cheapest way to produce the given amounts of output in Table 4 (using the information you have...
ECON 1150 Out-of-Class ASSIGNMENT 3 [ Total Marks = 15] Suppose that the following table provides a measure of the total production or output, TP from addition successive units of Labour, L of Large 4-Shot latte’s: Quantity of Labour, QL Total Production or Output, TP Marginal Productivity of Labour, MPL Average Productivity of Labour, APL 0 0 1 3 2 10 3 20 4 35 5 55 6 85 7 110 8 130 9 145 10 155 Using the information...
2. Greater than, equal to, less than Place a black point (plus symbol) on the graph to indicate the long-run monopolistically competitive equilibrium price and quantity for this firm. Next, place a grey point (star symbol) to indicate the minimum average total cost the firm faces and the quantity associated with that cost. Mon Comp Outcome Min Unit Cost PRICE (Dollars per jacket) ATC МС - P > ATC MR Demand 0 10 90 100 MR = MC 20 30...
Unsaved change Question 9 10 points Save Answer Figure: The Perfectly Competitive Firm Price (per unit) MC ATC mc C $3.00 2.0 F 1.00.. 07 100 250 300 400 Output (per day) Reference: Ref 12-19 (Figure: The Perfectly Competitive Firm) Look at the figure The Perfectly Competitive Firm. The figure shows a perfectly competitive firm that faces demand curve d and maximizes profit. The firm's economic profit in the long run will be: $275. $300. $0. $250.
Production and cost information for Johnson's Farms, producing Yellow Squash, using hourly labor with fixed quantities of land, machinery and other resources. TFC TVC TC AFC AVC ATC MC TR-TC Profit TR MR 100.0 Labor Units of Squash X Y or TPP 0 0 10 2 25 3 45 4 61 5 72 6 81 7 87 8 90 9 92 10 93 11 92 12 88 50.0 78.0 91.0 348.0 4.0 1) Use the information above to complete the...