Question
4. Answer the following questions: a). If Total Variable Cost (TVC) = $80 and Average Variable...
4. Answer the following questions:
a). If Total Variable Cost (TVC) = $80 and Average Variable Cost (AVC) = 4, then what does Quantity (Q) equal to?
b). If Total Cost (TC) is $40 when Q = 2 and TC is $45 when Q = 3, then what does Marginal Cost (MC) equal to?
c). What does Average Fixed Cost (AFC) equal at Q = 2 if TVC is $15 at Q = 2?
d). Why does the AFC curve get continually closer to the horizontal axis in Exhibit 6 (c) on page 219 of your textbook as the quantity of output increases?
Homework Answers
Answer #1
Not the answer you're looking for?
Similar Questions
3. Cost Tables (a) Fill in the following table, where TFC = Total Fixed Cost, TVC...
3. Cost Tables
(a) Fill in the following table, where TFC = Total Fixed Cost,
TVC = Total Variable Cost, TC = Total Cost, AFC = Average Fixed
Cost, AVC = Average Variable Cost, ATC = Average Total Cost, and MC
= Marginal Cost. Remember the following relationships:
TFC + TV C = TC
AF C = T F C/Q, AV C = T V C/Q, AT C = T C/Q
MC = ∆TC ∆Q
Output (Q)
TFC
TVC
TC...
Consider the following total cost function for Firm A: TC(Q)=4Q3-12Q2+2Q+1,000,000. Calculate TVC, AVC, TFC, AFC, AC....
Consider the following total cost function for Firm A:
TC(Q)=4Q3-12Q2+2Q+1,000,000. Calculate TVC, AVC, TFC, AFC, AC. Does
this cost function satisfy the law of diminishing returns? Hint:
MC(Q)= 12Q2-24Q+2 Consider the following Long-run average cost
function for Firm A: TC(Q)= 12Q+4 (Q represents the scale of
operation). Does this firm benefit from scaling down? Explain your
answer.
For this activity, you must apply formulas for total variable cost, average variable cost, average total...
For this activity, you must apply formulas for total variable
cost, average variable cost, average total cost, and marginal cost,
and use these computations to determine maximum profit
A firm’s cost curves are given in the following table:
Q
TC
TFC
TVC
AVC
ATC
MC
0
100
100
1
155
100
2
195
100
3
215
100
4
245
100
5
300
100
6
360
100
7
435
100
8
515
100
9
605
100
a) Complete the table.
b)...
Use the table below to answer the next 3 questions Units of Output Total Fixed Cost...
Use the table below to answer the next 3 questions
Units of Output
Total Fixed Cost
Total Variable Cost
1
$1000
$200
2
450
3
800
4
1350
5
1950
8. Given the cost schedule above, it can be seen that the MC of
the 3rd unit produced is
(a)
$350
(c) $600
(b)
$550
(d) $800
9. AFC is
(a) constant at all
levels of
output
(c) the difference
between AVC and ATC
(b) less than MC when
MC...
Labour (hrs) (Input) TP (Output) AP (Avg. Product) MP TVC TFC TC (Total Cost) AVC ATC...
Labour (hrs)
(Input)
TP
(Output)
AP
(Avg. Product)
MP
TVC
TFC
TC
(Total Cost)
AVC
ATC
MC
0
0
9
35
222
15
50
22
70
30
85
39
100
48
110
Complete the table above, assuming that the labour costs
are $8 / hr
What is the point of maximum productivity :
____ units of labour (input)
What is the AVC _____ and ATC
_____ at this quantity?
What is the quantity of diminishing returns?
____
What is the...
Q3: Complete the following table. Hint: Start with the first row. Q (units) TFC ($) TVC...
Q3: Complete the following table. Hint: Start with the first
row.
Q (units)
TFC ($)
TVC ($)
TC ($)
AFC ($/unit)
AVC ($/unit)
ATC ($/unit)
MC ($/unit)
0
$1,800
–
–
–
–
1
$600
2
$400
3
$1,200
4
$2,800
A perfectly competitive firm has the following total cost and marginal cost functions: TC =...
A perfectly competitive firm has the following total cost and
marginal cost functions:
TC = 100 +
10q – q2 + (1/3)q3
MC =
q2 – 2q +10
a) For quantities
from 0 to 10 determine: TC, TFC, TVC, and MC.
b) For quantities
from 0 to 10 determine: ATC, AFC, and AVC.
c) Assume P (MR)
equals 45. For quantities from 0 to 10 determine: TR and
profit.
d) At what quantity is
profit maximized?...
Commercial Recording, Inc., is a manufacturer and distributor of reel-to-reel recording decks for commercial recording studios....
Commercial Recording, Inc., is a manufacturer and distributor of
reel-to-reel recording decks for commercial recording studios.
Revenue and cost relations are: TC = $100,000 + $1,500Q + $0.1Q2 A)
what is the total variable cost (TVC) at Q= 250? B) what is the
average total cost (ATC) at Q=250? C) what is the average variable
cost (AVC) at q= 250? D) what is the average fixed cost (AFC) at Q=
250? E) what is the marginal cost (MC) at Q=...
Problem 1. The following are the hypothetical data of costs and revenues of DIAMOND CANNING CO....
Problem 1. The following are the hypothetical data of costs and
revenues of DIAMOND CANNING CO. , Tambler , General Santos
City.
QUANTITY
TVC
TFC
TC
ATC/AC
AVC
AFC
MC
PRICE
TR
0
0
5,000
0
5000
8,500
5,000
5
10,000
19,000.
5,000
4
15,000
24,000
5,000
3
20,000
36,000
5,000
2
25,000
45,000
5,000
1
Requirements: Solve the different types of costs and complete
the table. Using the graphing paper graph the following.
Graph all total costs ; TC,...
. The table below illustrates the quantity of output (in units) and total cost (TC, in...
. The table below illustrates the quantity of output (in units)
and total cost (TC, in MYR) for a perfectly competitive firm that
can sell its output at MYR 9 per unit.
Quantity
TC
TVC
ATC
AVC
MC
TR
MR
Profit
/Loss
0
3
0
-
-
-
0
-
-3
1
6
2
12
3
21
4
33
5
49
a. Calculate the total variable cost (TVC), average total cost
(ATC), average variable cost (AVC), marginal cost (MC), total...
ADVERTISEMENT
Need Online Homework Help?
Get Answers For Free
Most questions answered within 1 hours.
ADVERTISEMENT
Active Questions
asked 4 minutes ago
asked 51 minutes ago
asked 54 minutes ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 2 hours ago
asked 2 hours ago
asked 2 hours ago