Question

Please help with graph, thank you!

This is a small business started by Alex Lopez in 1980. He was 22 years old, and had just graduated from UTSA with a degree in Business.   As a young entrepreneur, he bought a greenhouse, and started a hydroponic farm growing tomatoes. Growing various vegetables in water was a new industry at that time. Alex’s business is operating in a perfectly competitive industry, competing with other greenhouse and field producers in the U.S. and Mexico.

After starting the business, Alex met and married Ma14ria, and in subsequent years, they then had two sons and two daughters. All four children helped their parents while growing up but are now married with careers of their own. The business has grown as well, and Alex and Maria now have eight greenhouses operating throughout three seasons of the year. (The Long Run). Each season is roughly four months. (The short run). Although only Alex and Maria now operate the greenhouses throughout the three seasons, their sons and daughters still help during harvest time. But only Alex and Maria are now on the payroll, taking their income from the profits each season.

The whole family gets together on the first Saturday of each season to do the planning. At the planning session everybody sits around the kitchen table at the farm, and uses a model developed by Alex while in college. Some of the data used in the model are taken from the financial statements prepared by the C.P.A. for the business. Other data have to be planned from experience that has changed over the years. As a consultant, you have gathered this background information, and have been hired to help the family develop the updated data for the upcoming season.

Q	Expected wholesale /Market Price	TR	MR	FC	VC	TC	Profit or Loss	AVC	ATC	MC
0	0.8	0		22000	0	22000	-22000
25000	0.8	20000	20000	22000	15000	37000	-17000	0.60	1.48	15000
50000	0.8	40000	20000	22000	25000	47000	-7000	0.50	0.94	10000
75000	0.8	60000	20000	22000	27000	49000	11000	0.36	0.65	2000
100000	0.8	80000	20000	22000	30000	52000	28000	0.30	0.52	3000
125000	0.8	100000	20000	22000	35000	57000	43000	0.28	0.46	5000
150000	0.8	120000	20000	22000	48000	70000	50000	0.32	0.47	13000
175000	0.8	140000	20000	22000	66000	88000	52000	0.38	0.50	18000
200000	0.8	160000	20000	22000	99000	121000	39000	0.50	0.61	33000

Part II. Graph – The graph may be generated from EXCEL, or you may use the grid on the next page. Plot the per/lb. variables of Price,MR, AVC, ATC, and MC from your table on one graph. Scale your numbers on the Y axis to accommodate the numbers in your table for all of these variables. Use the number of greenhouses from 1 to 8 on the X axis. Be sure to use titles for the graph, on the axes, and for the variable lines.

Answer 1