Question

Labor 3. Complete the following table (six points) Marginal Quantity Fixed Variable Product Produced Cost Cost Total Cost Marginal Cost Average Total Cost (dollars) Average Variable Cost (dollars) (workers) (units) (units) (dollars) (dollars) (dollars) (dollars) 1 0 $50 $0 2 10 $50 $20 3 25 $50 $40 4 45 $50 $60 5 60 $50 $80 6 70 $50 $100

Answer 1

Hi

Pls see below table:

Note 1 : The marginal product is the incremental unit produced. For example at labour 3 the total units produced are 25 and at labour 4 the units produced are 45. Therefore the extra units produced are 20 which is nothing but Marginal products produced

Note 2: The marginal cost of production is the change in total cost that comes from making or producing one additional unit. To calculate marginal cost, divide the change in total costs by the change in quantity produced( i.e column 2).

Further we request you to please raise your 2nd question- regarding accounting cylcle, as a separate question. As per the HOMEWORKLIB RULES we could answer only one question at  a time.