Question

1) in the following chart the box labeled "H" should be? The box "K" should be labeled?

In the chart below, the box labeled "H" should be: Q P TR MR TC MC 0 $30 0 $15 1 $30 $30 $30 $25 $10 $30 N $60 $30 H $15 3 $30 $90 $30 $60 K 4 $30 $120 $30 $85 $25 5 $30 $150 $30 $115 $30 Ad he ens ice 6 $30 $180 $30 $150 $35

2) which of the following formulas is incorrect?

3) marginal cost tend to increase because

Answer 1

a) H will be 40 and K will be 20. for the value of H we will have to add TC before that i.e. 25 and the next marginal cost that is 15.

for k we use the value of K and get the marginal cost. change in total cost / change in quantity.

b) "D"

marginal cost formula is wrong.

c) "a"

Marginal product of the labor decrease so the marginal cost increases.