A small company manufactures a certain product. Variable costs are $20 per unit and fixed  costs are $10,875. The price demand relationship for this product is   P = -0.25D + 250, where P is the unit sales price of the product and D is the annual demand.  Total cost = fixed cost + Variable cost, TC = CF + CV  Revenue = Demand x Price, TR = D x P Profit = Total Revenue – Total Cost, P = TR – TC   a) Develop the equations for the total cost and total revenue. b) Find the breakeven quantity c) How many units must be sold to maximize profit?    d) What is the company’s maximum profit

Q: If the firm has a total cost function of: TC = 144 + 3Q Explain what this means in terms of…

A:

Q: You are setting up a part-time business with an initial investment of $15,000. The unitcost of the…

A: The objective of the question is to find the equations for total cost and total revenue, the…

Q: You have a price of $5 per unit. Your total variable costs are $1 per unit and your fixed costs are…

A: break-even is at TR=TC TR=P*Q P=5 and Q=? TR=5Q

Q: Calculate the price per unit if it is given that Total revenue is $840 and the total output is 32…

A: According to the above-mentioned question, we are given that:- Total revenue = $840 Output = 32…

Q: Fixed Costs are expenses that: Multiple Choice Do not change as production changes. They are usually…

A: Fixed cost are the cost that do not depend on level of production

Q: If the firm is maximizing its profits when the price is $12, its total cost is: a) $1200 b) $700…

A: A competitive firm maximizes profit by producing at P=MC

Q: given p(q)=176-9Q and c(p)=5Q+19 find the profit max quantity

A: Answer to the question is as follows:

Q: A company manufactures and sells x cellphones per week. The weekly price-demand and cost equations…

A: Demand signifies the amount of a particular commodity or service that individuals are inclined to…

Q: The difference between ATC and AVC decreases with decrease in level of output.

A: Average total cost (ATC) is the ratio of the total cost (TC) and the quantity (Q).  ATC=TCQ Average…

Q: If explicit costs is $300 and total revenue is $1000 Calculate the accounting profit

A: according to the above given question, we are given that;- Explicit costs = $300 Total revenue =…

Q: Costs that change with the level of per unit of production are referred to as ________.     Fixed…

A: cost, in like manner use, the money related worth of labor and products that makers and consumers…

Q: The Cost and revenue funchon of a firm is given as /C=18+7Q+iOQ²+5Q3 and P = 1500Qt 3Q" ⑦Identify…

A: The cost function will include the fixed cost and variable costs. It will be shown as TC = FC + VC…

Q: he variable cost to make a certain product is $71 per unit. Research indicates that the lowest price…

A: Given, VC = $71 per unit Lowest price = $156

Q: The marginal cost function for a company is given by C'(a) = q²-17q+70 dollars/unit, where q is the…

A: 1. Find the Total Cost Function:We are given the marginal cost function:C'(q) = q² - 17q + 70To find…

Q: Calculate Accounting profit if total revenue is $23,000 and explicit cost is $16,000

A: According to the above given question, the information given is:- Total revenue = $23,000 Explicit…

Q: Cost, revenue, and profit are in dollars and x is the number of units. A firm knows that its…

A: a.) The optimal level of production can be calculated as follows: 73-6x=2x+258x=48x=6 Thus, the…

Q: For a company that manufactures wooden furniture the fixed costs is $900,000 per month. The variable…

A: A variable cost is a corporate expense that changes in proportion to how much a company produces or…

Q: Which cost concept helps firms assess the additional cost of producing one more unit beyond the…

A: In the field of financial aspects and business, understanding different cost ideas is essential for…

Q: None

A: QUESTION D: To find the order quantity (q) that results in the minimum annual cost and to determine…

Q: What will be the accounting profit of the firm if the total revenue is $1020 and the explicit cost…

A: The information being given is :- Total revenue of the firm = $1020 Explicit cost = $350  We have to…

Q: Here is the production cost function, in $ of producing q units of a product: 2200 C(q) = 300 +0.8q2…

A: Since you have posted multiple questions with multiple subparts, as per guidelines, we are supposed…

Q: Calculate the total revenue if explicit costs of the firm are $400 and the accounting profit is $850

A: Given information is :- Explicit costs = $400 Accounting profit = $850 We need to find the value of…

Q: Problem One: The fixed cost for a company is 1200 OMR and the variable cost is 2 OMR per 100 unit.…

A: Given  Fixed cost = 1200.  Variable cost = 2 per unit.  Demand function: p = 100/√x.  The company…

Q: MC = 10q, ATC = 10/q+ 5q, AVC = 5 q, AFC = 10/q I would like to know how to plot them(in graph) in…

A: Cost curves are the curves that show the different amount of money incurred in producing different…

Cost of Production

In economic theory, production costs are the costs incurred by an industrial organization when it engineers a project or provides a service that generates revenue and benefits. Labor costs, raw materials, consumable manufacturing costs, and general overhead sum up, accounting for production costs. Total cost data is calculated by combining total direct costs of materials, labor costs, and total production costs.