a) P= 58
Yes, this firm will produce as the P>minimum AVC
Setting P=MC, the firm will produce 8 units
Profit per unit = 58-48.13 = 9.87
b) P= 41
Yes, this firm will produce as P>Minimum AVC
Loss minimizing output = 6 units
Loss per unit = 41-47.50 = -6.50
c) P = 33
No, it is not preferable to produce as the P<Minimum AVC
Output = 0 units
Loss = -60
MON Pegamy sy DUO Tao u are nok aatio juodu a je stopoulos pue 2. Assume the following cost data are for a purely compe...
Assume that the cost data in the following table are for a purely competitive producer: TotalProductAverageFixed CostAverageVariable CostAverageTotal CostMarginal Cost01$60.00$45.00$105.00$45.00230.00 42.50 72.5040.00320.00 40.00 60.0035.00415.00 37.50 52.5030.00512.00 37.00 49.0035.00610.00 37.50 47.5040.0078.57 38.57 47.1445.008 7.50 40.63 48.1355.009 6.67 43.33 50.0065.0010 6.00 46.50 52.5075.00 Instructions: If you are entering any negative numbers be sure to include a negative sign (−) in front of those numbers. Select "Not applicable" and enter a value of "0" for output if the firm does not produce. a. At a product price of $66.00 (i) Will this firm produce in the short run? (Click to select) No Yes (ii) If it is preferable to produce, what...
Assume the following cost data are for a purely competitive producer: Average Product Fixed Cost Variable Cost Total Cost Average Average Marginal Total Cost $60.00 $45.00 $105,00 $45.00 1 72.50 2 30.00 42.50 40.00 3 20.00 40.00 60.00 35.00 30.00 15.00 37.50 52.50 5 12.00 37.00 49.00 35.00 6 10.00 37.50 47.50 40.00 8.57 7 38.57 47.14 45.00 7.50 40.63 48.13 50.00 55.00 9 6.67 43.33 65.00 10 6.00 46.50 52.50 75.00 Answer the following questions (a - c) using...
Assume the following cost data are for a purely competitive producer: Total Average Average Product Fixed Cost Variable Cost Average Total Cost Marginal Cost COVOAN $60.00 30.00 20.00 15.00 12.00 10.00 8.57 7.50 6.67 6.00 $45.00 42.50 40.00 37.50 37.00 37.50 38.57 40.63 43.33 46.50 $105.00 72.50 60.00 52.50 49.00 47.50 47.14 48.13 50.00 52.50 $45.00 40.00 35.00 30.00 35.00 40.00 45.00 55.00 65.00 75.00 Answer the following questions (a - c) using the table above. Instructions: 1. For any...
Assume that the following cost data are for a purely competitive producer: Total Product Avg. Fixed Cost Avg. Var. Cost Avg. Total Cost Marg. Cost 0 n/a $0.00 $0.00 n/a 1 $60.00 $45.00 $105.00 $45.00 2 $30.00 $42.50 $72.50 $40.00 3 $20.00 $40.00 $60.00 $35.00 4 $15.00 $37.50 $52.50 $30.00 5 $12.00 $37.00 $49.00 $35.00 6 $10.00 $37.50 $47.50 $40.00 7 $8.57 $38.57 $47.14 $45.00 8 $7.50 $40.63 $48.13 $55.00 9 $6.67 $43.33 $50.00 $65.00 10 $6.00 $46.50 $52.50 $75.00...
Use the cost data to complete the charts. Assume that the following cost data are for a purely competitive producer. Marginal Cost en WN- enn Average Fixed Average Average Total Cost Variable Cost Cost na $ 0.00 $ 0.00 60.00 $ 45.00 $ 105.00 30.00 $ 42.50 72.50 20.00 $ 40.00 60.00 15.00 37.50 52.50 55 12.00 37.00 49.00 6 $ 10.00 $ 37.50 $ 47.50 7 $ 8.57 $ 38.57 $ 47.14 8 $ 7.50 $ 40.63 $ 48.13...
Same question/divided into two parts Assume that the following cost data are for a purely competitive producer: as Total Product Average Fixed Total Product Cost 0 na 1 $ 60.00 2 $ 30.00 $ 20.00 $ 15.00 12.00 $ 10.00 $ 8.57 $ 7.50 $ 6.67 10 6 .00 Average Average Total eost Average Total Marginal Cost Variable Cost Cost 0 .00 5 0 .00 na $ 45.00 $ 105.00 $ 45.00 $ 42.50 $ 72.50 $ 40.00 $ 40.00...
Assume the following cost data are for a purely competitive producer: Average fixed Total Product Average variable cost Average total cost Marginal cost cost $45 40 can AWN $60.00 30.00 20.00 15.00 12.00 10.00 8.57 $45.00 42.50 40.00 37.50 37.00 37.50 38.57 40.63 43.33 46.50 $105.00 72.50 60.00 52.50 49.00 47.50 47.14 48.13 50.00 52.50 7.50 6.67 6.00 (1) (3) (2) Quantity supplied, single firm (4) Quantity supplied, 1500 firms Price Profit (+) or loss (1) $26 32 e. Explain:...
Assume that the following cost data are for a perfectly competitive producer: Total Product Marginal Cost , Average Fixed Cost na $60.00 30.00 20.00 15.00 12.00 10.00 Average Variable Cost $0.00 $45.00 42.50 40.00 37.50 37.00 37.50 38.57 40.63 43.33 46.50 Average Total Cost $0.00 $105.00 72.50 60.00 52.50 49.00 47.50 47.14 48.13 50.00 52.50 6 8.57 7.50 6.67 .00 106 Answer the questions in the first column in the table below for each of the prices listed at the...
Assume that the following cost data are for a purely competitive producer Total Product Average Fixed Average Average Total Marainal cos Cost Variable Cost Cost na 0.00 $ 0.00 na $ 60.00 $ 45.00 $ 105.00 $ 45.00 $ 30.00 $ 42.50 $ 72.50 $ 40.00 $ 20.00 $ 40.00 $ 60.00 $ 35.00 $ 15,00 $ 37.50 $ 52.50 $ 30.00 12.00 $ 37.00 $ 49.00 $ 35.00 10.00 $ 37.50 $ 47.50 $ 40.00 $ 8.57 $ 38.57...
Assume that the following cost data are for a purely competitive producer: total product average fixed cost average variable cost average total coast marginal cost 0 na $0.00 $0.00 na 1 $60.00 $45.00 $105.00 $45.00 2 $30.00 $42.50 $72.50 $40.00 3 $20.00 $40.00 $60.00 $35.00 4 $15.00 $37.50 $52.00 $30.00 5 $12.00 $37.00 $49.00 $35.00 6 $10.00 $37.50 $47.50 $40.00 7 $8.57 $38.57 $47.14 $45.00 8 $7.50 $40.63 $48.13 $55.00 9 $6.67 $43.33 $50.00 $65.00 10 $6.00 $46.50 $52.50 $75.00...