A firm purchased copper pipes a few years ago at $10 per pipe and stored them, using them only as the need arises. The firm could sell its remaining pipes in the market at the current price of $6. What is the opportunity cost of each pipe and what is the sunk cost? The opportunity cost is $ and the sunk cost is $

Q: Explain why the fixed cost has no influence at all on marginal cost.

A: In the short run, a firm will have two types of cost: fixed cost and variable cost. Total variable…

Q: 1. If the cost function of producing a commodity is: 40 + 50x + Vx2 +110 C (x) == where x represents…

A: The given cost function is: C(x) = 40 + 50x + VX2 + 110 Assuming V is a constant greater than 0 To…

Q: True or False ? Why ? In the long run, Betty’s factory produces 10,000 widgets with cost-minimizing…

A: Production Equilibrium is where Slope of isoquant is equal to the slope of  iso cost curve .  Or…

Q: You are an employer seeking to fill a vacant position on an assembly line. Are you more concerned…

A:

Q: Which expression is another way of saying "marginal cost"?                Scarce resources…

A: Marginal cost is the increment in total cost for producing additional units of a commodity. It is…

Q: What are the risks of focusing on sunk costs and ignoring opportunity costs? Describe some examples…

A: Any expense that has already been incurred and cannot be recovered or reversed is known as a sunken…

Q: A manufacturer can produce 5,130 cell phones when a dollars is spent on labor and y dollars is spent…

A: Cost refers to all types of expenses that incur in the production process. It can be variable cost,…

Q: X and Y are factors of production. X's marginal product is 30 and Y's marginal product is 20. X=5…

A: Total cost is minimized when (MPx / Px) = (MPy / Py) Here, MPx / Px = 30/5 = 6 MPy / Py = 20 / 4 = 5…

Q: Justify the statement. Whether true or false. Fixed cost does not change with the change in the…

A: Cost is the value of the resources (including time, money, materials, and effort) used to produce a…

Q: A manager hires labor and rents capital equipment in a very competitive market. Currently the wage…

A: Given wage rate (w) = $12Capital rent (r) = $8Marginal product of labor (MPL) = 60 unitsMarginal…

Q: Suppose that you and a friend have started a pizza delivery business. First you had to find a shop…

A: Fixed cost refers to the cost that remains constant or same at all level of output. It does not…

Q: Starbucks is hoping to make use of its excess restaurant capacity in the evenings by experimenting…

A: (Q) Starbucks is hoping to make use of its excess restaurant capacity in the evenings by…

Q: 2. A firm requires labor and capital to produce a given output. Labor costs $8 0/6 per hour and…

A: A firm will maximize profit or minimise cost at a point where marginal rate of technical…

Q: . A production process using two inputs, labor and capital is Q = 5LK where Q is output per day. MPK…

A: When the ratio of labour and capital prices equals the marginal rate of technical substitution of…

Q: A production technology that lies on the diagram's $500 isocost line dominates a technology that…

A: Isocost lines represent all possible combinations of two inputs (usually capital and labor) that a…

Q: a. When three pens and four erasers were purchased, the cost was $21.25. When two pens and two…

A: As per given question:- Let  Value of pens    = x Value of erasers = y thus, 3x + 4y = 21.25…

Q: “Sunk cost is a fixed cost, but not in the long term.” Is this statement true or false? Explain!

A: In an economy, the cost is classified in different forms according to its effect on organizational…

Q: Yennefer's current production level, a extra bunch of herbs adds 24 extra spells. Each bunch of…

A: In financial matters, the marginal expense of production is the adjustment of aggregate production…

Q: Noel's sandwich shop incurs these costs while in business: $6,000 in wages, $2000 on leasing…

A: Sunk cost is the cost which is already incurred and cannot be recovered so using sunk cost in…

Q: We know there is a link between productivity and costs. For example, recall the link between the…

A: In an economist's terms, when we talk about productivity, then we are talking about the marginal…

Q: The table below describes the hourly cost Sam faces as he washes more cars.   Sam's Car Wash Costs…

A: The Total Cost is the real cost of producing a specific amount of output. In other words, the total…

Q: Mike’s Auto Art is a company that applies pinstripes to vehicles. Mike's cost for a basic 1-color…

A: Marginal cost is the addition made to the total cost by producing one additional unit of a product…

Q: Vincent Pearson makes dining tables, and he is trying to decide how many tables to produce. He can…

A: Marginal cost refers to the additional cost of production incurred due to additional production. It…

Q: True/False: Ryan has coffee shop. If the marginal cost of producing the tenth cup of coffee is…

A: Marginal cost refers to the increase or decrease in the total cost of a producing / making one…

Q: At Yennefer's current production level, a extra bunch of herbs adds 19 extra spells. Each bunch of…

A: Answer: Given, Output produced by a bunch of herbs (change in output) = 19 Cost of an extra bunch of…

Q: What is the marginal cost of producing an additional unit:

A: Definition of Marginal cost.Marginal cost refers to the additional cost incurred by a producer or a…

Q: Explain the situation in the market when a cost of grouper fingers is $7 per plate

A: When Price = $7, Quantity demanded (Qd) = 1,400 Quantity supplied (Qs) = 1,700

Q: a. When three pens and four erasers were purchased,the cost was $21.25.When two pens and two erasers…

A: Note: In the BNED Guidance, only the first question can be answered at a time. Resend the question…