26) Economies of scale occurs when cost falls and output rises which happens in the range 0 to Q1.
Diseconomies of scale occurs when cost rises with the level of output which happens in the range Q3 and above.
Thus option D is correct.
27) Price per box = $10
Selling 3 units.
Total revenue is the money collected from selling 3 units which is calculated as Price*Quantity sold. Thus it becomes 10 * 3 = 30
Marginal revenue is the extra revenue generated from extra unit sold. We generate $10 for each unit sold which is marginal revenue.
Thus, option A is correct.
Un Costs Long Run Outpt Refer to the above diagram. Diseconomies of scale occur of Scale...
A 26. Assume that in the short run a firm is producing 100 units of output, has average total costs of $200, and average variable costs of $150. The firm's total fixed costs are: A. $5,000. B. $500. C. $.50. D. 550. 27. In the short run the Sure-Screen T-Shirt Company is producing 500 units of output. Its average variable costs are $2.00 and its average fixed costs are 5.50. The firm's total costs: A. are $2.50 B. are $1,250...
1) The above figure definitely shows a) a long-run equilibrium for a monopolistically competitive firm. b) an industry with few firms. c) a long-run equilibrium for a perfectly competitive firm. d) a long-run equilibrium for a perfectly competitive market. 2) The firm in the above figure has a markup of ________ per meal. a) $0 b) $4 c) $8 d) $10 3) According to the graph bellow: Q1 to Q2 // Q2 to Q3 // Q4 to Q5 a) The...
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PLZ HELP???? QUESTION 7 A monopolist can usually keep price equal to marginal revenue by lowering the price on the last unit sold only. is constrained in its pricing decisions by the demand curve it faces. faces a demand curve that is more elastic than the demand curve for the industry. can charge whatever price it wants because it is the only firm producing the good 10.Shortly after the turn of the century, U.S. Steel owned most of the iron...
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10. Long-run cost relationshipsThe following graph shows the short-run average total cost curves and the long-run average total cost curve for a publishing firm. The five marked quantities indicate points of tangency between each short-run average total cost curve (SRATCSRATC) and the long-run average total cost curve (LRATCLRATC); for example, Q1Q1 marks the point of tangency between SRATC1SRATC1 and LRATCLRATC.The orange point on SRATC2SRATC2 indicates the firm's current output level in the short run (Q1Q1).COST PER UNITOUTPUTSRATC1Q1SRATC2Q2SRATC3Q3SRATC4Q4SRATC5Q5LRATCIn the long run, if the firm decides to keep output...
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