When output is zero, variable cost is zero and hence total cost is equal to fixed cost at zero output.
In the given case, when quantity produced is zero, total cost is $5. Hence, fixed cost is $5.
Second option is correct option.
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Refer to the table below for questions 35-39 Total Cost Quantity TUNO What is the fixed...
Refer to the table below. Quantity Cost (in dollars) Fixed Costs (in dollars) Total Costs (in dollars) Average Total Costs (in dollars per unit) Average Variable Costs (in dollars per unit) Marginal Costs (in dollars per unit) 0 0 40 40 - - - - - - 1 1 40 55 15 55 15 2 35 40 75 17.5 37.5 20 3 60 40 100 20 33.3 25 4 90 40 130 22.5 32.5 30 5 125 40 155...
Refer to the table below. What is the total cost of this firm when it doesn't produce any output? The following table shows the total output, variable costs, fixed costs, total costs, average total costs, and marginal costs of a firm, with some cells in the table intentionally left blank. Total Output Variable Costs Average Total (units) ks) Fixed Costs ($) Total Cost ($) Cost (5) Marginal Cost (S) 100 n.a. 10 5 10 122 17 8.24 Refer to the...
QUESTION 1 Table 13-16 Quantity Total Cost Fixed Cost Variable Cost Marginal Cost Average Fixed Cost Average Variable Cost Average Total Cost 0 $24 $50 3 $108 $40 Refer to Table 13-16. What is the total cost of producing 2 units of output? a. $76 b. $50 c. $58 d. $74 Figure 14-13 Suppose a firm in a competitive industry has the following cost curves: sem MC ATC AVC Refer to Figure 14-13. If the price is $6 in the...
The accompanying table represents the quantity produced, the total revenue, and the total cost of a firm operating in a perfectly competitive market. Refer to this table to answer the following questions. Quantity Total Revenue Total Cost 0 $0 $3 1 $5 $5 2 $10 $9 3 $15 $13 4 $20 $19 Assuming that all firms have the same cost structure, the price is options: $5. $3. $10. $2. $9.
Table 13-12 Betty’s Bakery Quantity of cakes Fixed Cost Variable Cost Total Cost Average Fixed Cost Average Variable Cost Average Total Cost Marginal Cost 1 $13 $38 2 $28 3 $70 4 $64 5 $110 6 $108 7 $133 8 $185 Refer to Table 13-12. What is the average fixed cost of producing 3 cakes at Betty’s Bakery? a. $5.33 b. $8.33 c. $2.67 d. $1.67
19. Table 13-16 Quantity Total Cost Fixed Cost Variable Cost Marginal Cost Average Fixed Cost Average Variable Average Total Cost 0 $24 $16 $50 $108 Refer to Table 13-16. What is the fixed cost of producing units of output? a. $16 b. $24 C. $12 d. $0 20. Refer to Table 13-16 in Question 19. What is the total cost of producing 2 units of output? a $76 b. $74 C. $58 d. $50 21. Refer to Table 13-16 in...
Marginal Cost of Production The following questions refer to the following table which shows a firm's marginal cost of production. Quantity (number of units) 1 2 3 4 5 6 7 8 Marginal Cost (dollars per unit) 3 4 6 9 13 18 24 31 Refer to Marginal Cost of Production. If the firm has $20 in fixed costs, producing 4 units generates variable costs of Question 17 options: 1) $22. 2) $35. 3) $42. 4) $55.
Table 13-5 The Flying Elvis Copter Rides Quantity Total Cost Fixed Cost Variable cost Marginal Cost Average Fixed Cost Average Nariable Cost Average Total Cost SO B D IF 0 1 2 3 $50 $150 G IM $50 A H IN C $120 IE K $120 Q R Refer to Table 13-5. What is the value of L? $60 $135 $240 5270
Use the following to answer questions 39-40 Total cost Total $1,400 1,200 1,000 800 400 200 0 100 440 320 Output 39. Refer to the above short-run data. Total fixed cost for this firm: A) is about $67. B) Vis 5300. C) is $200. D is $100. data given E) cannot be determined from the 40. Refer to the above short-run data. The profit maximizing output for this firm is: A) above 440 units. B) 440 units. C) 320 units....
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