Question

WTH Inc. exhibits the following production relationship between costs and quantity of Good X: Total Quantity...

WTH Inc. exhibits the following production relationship between costs and quantity of Good X: Total Quantity = 1, Marginal Cost = $200; Total Quantity = 2, Marginal Cost = $ 40; Total Quantity = 3, Marginal Cost = $ 30; Total Quantity = 4, Marginal Cost = $130; Total Quantity = 5, Marginal Cost = $175; Construct a Table of all relevant costs and construct the Graph of WTH's Supply Curve for Good X. Point out (and give explanation of) the quantity and price of Good X you would expect the firm to start supplying Good X to the market.

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
11.    Imposing an excise tax in a market for a good that exhibits inelastic demand    ...
11.    Imposing an excise tax in a market for a good that exhibits inelastic demand     a.    reduces market supply and generates tax revenue     b.    increases market supply and generates tax revenue     c.    reduces market demand and fails to generate tax revenue     d.    reduces market supply and fails to generate tax revenue 12.    All the combinations of two products that will yield the same total utility to a consumer are reflected in     a.    the budget line...
A company produces two goods, X and Y. Production technology exhibits the following costs, where C...
A company produces two goods, X and Y. Production technology exhibits the following costs, where C (Qx, Qy) represents the cost of producing Qx units of good X and Qy units of good Y: C (0.50) = 100, C (5,0) = 150, C (0,100) = 210, C (10,0) = 320, C (5,50) = 240, and C (10,100) = 500. Respond and justify your answers to the next questions: Does this technology exhibit economies of scale? Does this technology exhibit economies...
Consider a small country that imports good X. Some of the total quantity of X domestically...
Consider a small country that imports good X. Some of the total quantity of X domestically consumed is supplied by domestic producers and the rest of it is imported. Then suppose that the government imposed a quota on the importation of X, so that the quantity of X imported is reduced to a quantity of Q. Draw a demand and supply diagram that shows the effect of the quota. On your diagram clearly label the quantity of imports before the...
You are analyzing the market for Good X. You know the following: PEDx = -1.3 IEDx...
You are analyzing the market for Good X. You know the following: PEDx = -1.3 IEDx = 2.4 CPE(x,y) = 2 PESx = 1.4 a. If the price of Good Y increases, what do you expect to happen in the market for Good X? Describe any changes that may happen in a supply/demand graph and be sure to include how equilibrium price/quantity changes. b. Does knowing the price elasticity of supply help you determine how much the supply curve will...
Question 1; Greater consumption of alcohol leads to more motor vehicle accidents and, thus, imposes costs...
Question 1; Greater consumption of alcohol leads to more motor vehicle accidents and, thus, imposes costs on people who do not drink and drive. a) Illustrate the market for alcohol, labelling the demand curve, the supply curve, the social marginal benefit curve and the social marginal cost curve. Label also the market equilibrium quantity and the allocative efficient quantity of output. b) On your graph, shade the area corresponding to the deadweight loss of the market equilibrium. Explain. (Hint: The...
The market demand function for a good is given by Q = D(p) = 800 −...
The market demand function for a good is given by Q = D(p) = 800 − 50p. For each firm that produces the good the total cost function is TC(Q) = 4Q+ Q^2/2 . Recall that this means that the marginal cost is MC(Q) = 4 + Q. Assume that firms are price takers. (a) What is the efficient scale of production and the minimum of average cost for each firm? Hint: Graph the average cost curve first. (b) What...
33. At dwight inc. total fixed and variable costs are 430,000 at a production level of...
33. At dwight inc. total fixed and variable costs are 430,000 at a production level of 12,000 units. The company has a total fixed costs of 225,000. the fixed cost per unit at a production level of 170000 unit is. 34. In the process costing method, when multiple production steps are required, the five step process costing procedure must be completed in each production department. T/F 27. Madden enterprises sells two products, silver models and gold models. Madden enterprises predicts...
Which of the following statements is (are) correct? (x) Selling a good at a price where...
Which of the following statements is (are) correct? (x) Selling a good at a price where the demand curve intersects the marginal cost curve will guarantee that the firm will not earn losses. (y) A profit-maximizing perfect competitor will produce the level of output at which price is equal to marginal cost, but the typical profit-maximizing monopolistic competitor will not. (z) Selling a good at a price where the demand curve intersects the marginal cost curve is consistent with the...
Suppose that a firm in a competitive market faces the following revenues and costs: Quantity Total...
Suppose that a firm in a competitive market faces the following revenues and costs: Quantity Total Revenue Total Cost 0 $0 $5 1 $8 $9 2 $16 $14 3 $24 $20 4 $32 $27 5 $40 $35 6 $48 $44 7 $56 $54 8 $64 $65 9 $72 $72 If the firm’s marginal cost is $11, it should Question 10 options: Increase production to maximize profit Increase the price of the product to maximize profit Advertise to attract additional buyers...
mbus, Inc., makes brooms and then sells them door-to-door. Here is the relationship between the number...
mbus, Inc., makes brooms and then sells them door-to-door. Here is the relationship between the number of workers and Nimbus’s output in a given day: In the following table, complete the marginal product column. WORKERS OUTPUT MARGINAL PRODUCT TOTAL COST MARGINAL COST 3.33/ 5.00/ 15.00/ OR 100.00 AVERAGE TOTAL COST 3.33/ 5.00/15.00 OR 100.00 0 0 $ 1 20 $ 2 50 $ 3 90 $ 4 120 $ 5 140 $ 6 150 $ 7 155 $ A worker...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT