Question

Please fill in the graph and state the (x,y) axis aswell please. Fill in the blanks please aswell.

Suppose Yvette runs a small business that manufactures frying pans. Assume that the market for frying pans is a competitive market, and the market price is $20 per frying pan The following graph shows Yvette's total cost curve Use the blue points (circle symbol) to plot total revenue and the green points (triangle symbol) to plot profit for frying pans quantities zero through seven (inclusive) that Yvette produces 175 Total Revenue 150 Total Cost 125 Profit 100 O 50 ー 25 6 QUANTITY (Frying pans) Calculate Yvette's marginal revenue and marginal cost for the first seven frying pans she produces, and plot them on the following graph. Use the blue points (circle symbol) to plot marginal revenue and the orange points (square symbol) to plot marginal cost at each quantity, 9 0 2 Marginal Revenue 2 25 Marginal Cost 15 10 2 QUANTITY (Frying pans) Yvette's profit is maximized when she produces frying pans. When she does this, the marginal cost of the last frying pan she produces is , which is than the price Yvette receives for each frying pan she sells. The marginal cost of producing an additional frying pan (that is, one more fhan would maximize her profit) is s, which is she sells. Therefore, Because Yvette is a lessthis last condition can also be written as than the price Yvette receives for each frying pan greater rofit-maximizing quantity corresponds to the intersection of the curves 15 10 marginal cost and total revenue marginal cost and marginal revenue total cost and profit total revenue and profit QUANTITY (Frying pans) Yvette's profit is maximized when she produces frying pans. When she does this, the n total cost and marginal revenue produces is which is than the price Yvette receives for each frying pan she sells ional frying pan ch frying pan ▼ curves total cost and total revenue (that is, one more frying pan than would maximize her profit) is $ she sells. Therefore, Yvette's profit-maximizing quantity corresponds to the intersection of the Because Yvette is a price taker, this last condition can also be written as , which is QUANTITY (Frying pans) MC = TR Profit- MR - MC TC = TR P-MC Profit TR- TC Yvette's profit is maximized when she produces frying pans. Wh rginal cost of the last frying pan she produces is , which is ▼ than the price Yvette receives for each e marginal cost of producing an additional frying pan than the price Yvette receives for each frying pan (that is, one more frying pan than would maximize her profit) is $ she sells. Therefore, Yvette's profit-maximizing quantity corresponds to Because Yvette is a price taker, this last condition can also be written as curves.

Answer 1

Output Frying pans Dollars Total Revenue Marginal Revenue Dollars Marginal Cost Profit Total Cost Dollars 10 15 20 30 45 70 100 135 0 0 20 40 60 80 100 120 140 20 20 20 20 20 20 20 5 5 10 15 25 30 35 10 5 20 30 35 30 20 5 4 6 price per frying pan is $20 Market Total Revenue = Market price per frying pan times output Marginal revenue is the additional revenue for each frying pan sold Profit = Total Revenue-Total Costs Yvette's profit is maximized when she produces 4 frying pans When she does this, the marginal cost of last frying pan she produces is $15, which is less than the price she receives The marginal cost of producing an additional frying pan is $25, which is more than the market price Profit maximizing quantity is at the intersection of MR MC. Since Yvette is a price-taker, this condition is P-MC.

cost Total o ︷ つ う nhty mc 고) 20 Costs C2 2.