.Easton Plate Glass sells glass for $3 per unit in a highly competitive market. The firm...
.Easton Plate Glass sells glass for $3 per unit in a highly competitive market. The firm produces output using capital (which it rents at $75 per hour) and labor (which is paid a wage of $15 per hour under a contract for 20 hours of labor services). Complete the following table and use that information to answer the questions that follow. K L Q MPK APK APL VMPK 0 40 0 1 40 75 2 40 225 3 40 450 4 40 550 5 40 600 6 40 612.5 7 40 620 8 40 625 9 40 500 10 40 350 11 40 100 Identify the fixed and variable inputs. What are the firm’s fixed costs? What is the variable cost of producing 600 units of output? How many units of the variable input should be used to maximize profits? What are the maximum profits this firm can earn? Over what range of the variable input usage do increasing marginal returns exist? Over what range of the variable input usage do decreasing marginal returns exist? Over what range of input usage do negative marginal returns exist?
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.Easton Plate Glass sells glass for $3 per unit in a highly
competitive market. The firm...
Problem 05-02 A firm's product sells for $4 per unit in a highly competitive market. The...
Problem 05-02 A firm's product sells for $4 per unit in a highly competitive market. The firm produces output using capital (which it rents at $25 per hour) and labor (which is paid a wage of $30 per hour under a contract for 20 hours of labor services). Complete the following table and use that information to answer the questions that follow. Instruction: Round your answers for Average Product of Capital and Average Product of Labor to 2 decimal places....
2. A firm's product sells for $2 per unit in a highly competitive market. The firm...
2. A firm's product sells for $2 per unit in a highly competitive market. The firm pro- duces output using capital (which it rents at $75 per hour) and labor (which is paid 192 Managerial Economics and Business Strategy a wage of $15 per hour under a contract for 20 hours of labor services). Complete the following table and use that information to answer the questions that follow MPx AP AP VMP 0 20 120 50 2 20 150 3...
Can you answer these questions please. all of them 2. A firm's product sells for $2...
Can you answer these questions please. all of them
2. A firm's product sells for $2 per unit in a highly competitive market. The firm pro duces output using capital (which it rents at $75 per hour) and labor (which is paid a wage of S15 per hour under a contract for 20 hours of labor services). Complete the following table and use that information to answer the questions that follow. 20 0 1 20 50 2 20 150 3...
intranet Home. Hor G Google . Index : Mal cdthompson7。Boeng 737-800 Sale hmps./connectrnhe Check my work...
intranet Home. Hor G Google . Index : Mal cdthompson7。Boeng 737-800 Sale hmps./connectrnhe Check my work mode: This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion. Return to questi 2 A firm's product sells for $4 per unit in a highly competitive market The firm produces output using capital (which it rents at $25 per hour) and labor (which is paid a wage of $30 per hour under a...
eferences Mailings Review ViewTable Design Layout Question XYZ restaurant sells donuts at $2 per unit. It uses cap...
eferences Mailings Review ViewTable Design Layout Question XYZ restaurant sells donuts at $2 per unit. It uses capital (which it rents at $5 per hour under a contract for 5 and labor (which is paid a wage of $150 per hour of labor services). Complete the following table and use that information to answer the following questions. VC MPL APL VML FC 100 25 50 75 50 150 25-50 125 125100 625 200 2 300 125 75 250 450 225...
Question 31 1 pts A firm produces automobiles using labor as its variable input. The output...
Question 31 1 pts A firm produces automobiles using labor as its variable input. The output per labor hour is one automobile and each additional labor hour could produce two additional automobiles. Suppose that the firm increases its labor hours. Is this a sound economic decision? No, since average product of labor (APL) would decrease. Yes, since average product of labor (APL) is at a maximum. No, since marginal cost (MC) is at a minimum. Yes, since average variable cost...
1) A perfectly competitive firm sells 200 units at a market price of $40 per unit....
1) A perfectly competitive firm sells 200 units at a market price of $40 per unit. Its marginal cost is $50, and it incurs a variable cost of $10,000. To improve its profit or loss situation, this firm should ? a) shut down b) raise the price to $45 per unit c. reduce output but not to zero d. increase output sold to 300 units e. continue to produce the present level of output
Suppose that a perfectly competitive firm faces a market price of $ 12 12 per unit,...
Suppose that a perfectly competitive firm faces a market price of $ 12 12 per unit, and at this price the upward-sloping portion of the firm's marginal cost curve crosses its marginal revenue curve at an output level of 1 comma 800 1,800 units. If the firm produces 1 comma 800 1,800 units, its average variable costs equal $ 7.00 7.00 per unit, and its average fixed costs equal $ 1.00 1.00 per unit. What is the firm's profit-maximizing (or...
Assume a perfectly competitive firm sells its output for $150 per unit. At its current 2,000...
Assume a perfectly competitive firm sells its output for $150 per unit. At its current 2,000 units of output, marginal cost is $140 and increasing, and average variable cost is $120. Assuming it wants to maximize its profits, it should: u increase output. o decrease output, but not shut down. u maintain its current output rate. shut down.
Question 2. Consider a perfectly competitive firm maximizing profits in the short run. It uses on...
Question 2. Consider a perfectly competitive firm maximizing profits in the short run. It uses only one variable input and the associated cost functions have the usual shape. The following information is given: (i.) the marginal product of labor is 10. (ii.) the firm is making zero profits. (ii.) the average total cost is 6. (iv.) the average product of labor is either 8 or 12. Use this information to answer the following questions. lustrate your answers with a diagram...
Problem 05-02 A firm's product sells for $4 per unit in a highly competitive market. The firm produces output using capital (which it rents at $25 per hour) and labor (which is paid a wage of $30 per hour under a contract for 20 hours of labor services). Complete the following table and use that information to answer the questions that follow. Instruction: Round your answers for Average Product of Capital and Average Product of Labor to 2 decimal places....
2. A firm's product sells for $2 per unit in a highly competitive market. The firm pro- duces output using capital (which it rents at $75 per hour) and labor (which is paid 192 Managerial Economics and Business Strategy a wage of $15 per hour under a contract for 20 hours of labor services). Complete the following table and use that information to answer the questions that follow MPx AP AP VMP 0 20 120 50 2 20 150 3...
Can you answer these questions please. all of them
2. A firm's product sells for $2 per unit in a highly competitive market. The firm pro duces output using capital (which it rents at $75 per hour) and labor (which is paid a wage of S15 per hour under a contract for 20 hours of labor services). Complete the following table and use that information to answer the questions that follow. 20 0 1 20 50 2 20 150 3...
intranet Home. Hor G Google . Index : Mal cdthompson7。Boeng 737-800 Sale hmps./connectrnhe Check my work mode: This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion. Return to questi 2 A firm's product sells for $4 per unit in a highly competitive market The firm produces output using capital (which it rents at $25 per hour) and labor (which is paid a wage of $30 per hour under a...
eferences Mailings Review ViewTable Design Layout Question XYZ restaurant sells donuts at $2 per unit. It uses capital (which it rents at $5 per hour under a contract for 5 and labor (which is paid a wage of $150 per hour of labor services). Complete the following table and use that information to answer the following questions. VC MPL APL VML FC 100 25 50 75 50 150 25-50 125 125100 625 200 2 300 125 75 250 450 225...
Question 31 1 pts A firm produces automobiles using labor as its variable input. The output per labor hour is one automobile and each additional labor hour could produce two additional automobiles. Suppose that the firm increases its labor hours. Is this a sound economic decision? No, since average product of labor (APL) would decrease. Yes, since average product of labor (APL) is at a maximum. No, since marginal cost (MC) is at a minimum. Yes, since average variable cost...
Assume a perfectly competitive firm sells its output for $150 per unit. At its current 2,000 units of output, marginal cost is $140 and increasing, and average variable cost is $120. Assuming it wants to maximize its profits, it should: u increase output. o decrease output, but not shut down. u maintain its current output rate. shut down.
Question 2. Consider a perfectly competitive firm maximizing profits in the short run. It uses only one variable input and the associated cost functions have the usual shape. The following information is given: (i.) the marginal product of labor is 10. (ii.) the firm is making zero profits. (ii.) the average total cost is 6. (iv.) the average product of labor is either 8 or 12. Use this information to answer the following questions. lustrate your answers with a diagram...
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