a. ABC Company produces 100 pendants per day. The total fixed cost for the plant is $5000 and the total variable cost is $15000 per day. Calculate the average fixed cost, average variable cost, average total cost and total cost at the current output level. b. Calculate Economic profit and Accounting profit from the figures given below for ABC Company.  • Total revenue $ 500,000 • Wages and salaries $ 40,0000 • Forgone salary $ 80,000 • Interest paid $ 10,000 • Forgone rent $ 10,000 • Raw materials $ 50,000 • Other payments $ 20,000 • Forgone interest $ 7,000

Q: 1. The following is cost information for the Creamy Crisp Donut Company. Entreprencur's potential…

A: An economic profit is the difference between the revenue a commercial entity has received from its…

Q: An total revenues, O opportunity cost; including economic profit accounting profit; excluding…

A: In economics,  the term profit is defined as the difference between the revenue of a firm that it…

Q: 16 1 Quantity 2 3 4 S 6 7 8 Lise questions 36 10 Total fixed cost, TFC (dollars) 500 500 500 500 500…

A: To determine the optimal output level, we need to find the level of output at which the marginal…

Q: 5. Explain what is the relationship between marginal cost and average total costs for a firm or…

A: According to economic theory, a product's cost is determined by the total monetary worth of all the…

Q: d. What is the profit maximizing level of total product (TP) in this example? (3 points) e. At a…

A: First we get the table for easy reference:   TP   Price    TFC     TVC          TC          AFC…

Q: true or false If long-run marginal cost is greater than long-run average cost, then the firm is…

A: Decreasing return to scale - when proportionate increase in inputs causes less than proportionate…

Q: A firm is producing a quantity of 20 units. The market price is $17. The firm's variable cnt is…

A: Total revenue (TR): - it is the total amount that a seller receives selling his goods and services…

Q: Complete the cost schedule using the data below for a firm operating in the short run. Fill in all…

A: The table can be filled by calculating the blanks with the given formula: Average variable cost can…

Q: O vats of juice 1 2 3 4 5 6 $0 10 25 45 70 100 135 $30 40 55 75 100 130 165 a. Calculate average…

A: Total cost is the total amount of expense that a firm incurs during the whole production process. It…

Q: A computer company produces affordable, easy to-use home computer systems and has fixed costs of…

A: Cost is the value of goods and services.

Q: Chapter 11 Production and Costs – Units of Total Marginal Product Total Variable АТС AVC MC Labor…

A: The total production process of a firm/company is an amalgamation of various costs, the optimum…

Q: 1. Economies of scale exist over the range of output to units. Does the firm experience diseconomies…

A: Economies of Scale  This describes the cost savings that occur as a company expands its scale of…

Q: A firm's average total cost is £80, its total fixed cost is £1000 and its output is 100 units. Its…

A: Total cost is the sum of fixed cost and variable cost.  Variable cost changes with the change in…

Q: ABC Company produces 100 pendants per day. The total fixed cost for the plant is $5000 and the total…

A: TC= Total cost FC= fixed cost VC= variable cost ATC= average total cost AFC= Average fixed cost…

Q: Exhibit 23-8 Price and Col (dk) Price and Co (akin) 11 10 ** AVC 0 11 10 O Fm A 70 90 100 150…

A: The market is characterised by a large number of sellers and buyers with homogeneous products. The…

Q: 2. Fill in the table Bar of Total Soap Fixed (Quantity) Cost 100 P1,000 200 1,000 300 1,000 400…

A: We use the following formulas to fill the above table: 1) Total Cost = Total Fixed Cost + Total…

Q: 2. The table below shows the number of total product produced by its corresponding number of…

A: the time period is not mentioned in this problem so we consider it as the short-run problem i.e. in…

Q: This firm's zero economic profit output is ? • This firm's profit maximising output will be ?…

A: A firm makes zero economic profit when its total cost is equal to its total revenue. A firm makes…

Q: 5. In multiproduct situations, when sales mix shifts toward the product with the highest…

A: Calculating the break-even point in a multi-product context is more complicated, and it's normally…

Q: 3. A firm has fixed cost of $90.00 and variable costs as indicated in the table below. Complete the…

A: The fixed cost(TFC) of the given firm is $90. The total variable costs(TVC) at various total…

Q: b. Describe the relationship between the marginal product and the total product of a firm

A: Total Product: Total Product is the total volume of production or the amount of final output…

Q: ABC is a small business producing instructional modules for disabled children in public schools. The…

A: Since you have posted a question with multiple sub-parts, we will provide the solution to only the…

Q: Mariel runs an ice cream shop. Her short-run cost is given by 300 + 3000 + 3g where q s the number…

A: TC(total cost) has 2 components- TFC(total fixed cost) and TVC(total variable cost). ATC(average…

Q: A firm had sales revenue of $1 million lastyear .Its pent $600,000 on labor,$150,000 on capitaland…

A: The accounting profit refers to the profit which the firm receives after it has done for the…

Q: Show proper work

A: Approach to solving the question:We must compute the marginal cost for every firm at every output…

Q: a) The table below was extracted from Elegance Holdings Ltd Company costing records. Use the data to…

A: Total cost refers to the total expenditure incurred by a business or organization in order to…

Q: 0. One of the products ofa company has a price of$3 per unit. Its fixed costs are $200,000 month and…

A:

Q: The table below shows the short-run production function for Michelle's Accounting Company. Number of…

A: Since you have posted a question with multiple sub parts, we will solve first three subparts for…

Q: A firm has fixed cost of $90.00 and variable costs as indicated in the table below. Complete the…

A: Fixed Costs- Fixed costs are expenses that do not change with the level of production or sales.…

Q: The firm with total revenues of a 100 million explicit cost of 90 million and implicit cost of 20…

A: Accounting Profit is the difference between total revenue earned by firm and the explicit costs.…

Q: What is the marginal cost of the eighth unit based on the table? 0 1 2 3 4 5 6 100 110 115 125 140…

A: This can be defined as a cost that shows the type of cost that an individual, business, or any other…

Q: The difference between economic profit and accounting profit is that economic profit is calculated…

A: Economic profit is reffered as the total revenue of the firm (from sales) minus the costs of all…

Q: ECONTO1 FEX 2021 2Male ewamus.net dearoducing a quantity of 20 units. The market price is $17. The…

A: Given  A firm is producing  Quantity = 20 units  Price = $17.  Variable cost = $60  Fixed cost =…

Q: Quantity Total Cost Marginal Cost Total Revenue Marginal Revenue Profit $8 $0 1 10 16

A: Marginal Cost = Change in the total cost ÷ Change in quantity   Marginal Revenue = Change in total…

Q: small coffee house has the following costs:  building and pizza oven rentals 100,000  labor…

A: A) Accounting profit computed as Total revenue - Total  => 4,20,000 - 455000 Accounting profit…

Q: A firm has fixed cost of $90.00 and variable costs as indicated in the table below. Complete the…

A: Fixed Costs- Fixed costs are expenses that do not change with the level of production or sales.…

Q: Question 1 Output (Q) Total Fixed Cost (TFC) Total Variable cost (TVC) 0 100…

A: Marginal cost is the the cost incurred when an additional unit of input is hired. Mathematically, it…

Q: Computer Warehouse buys a printer for $380 less trade discounts of the operating expenses are $57…

A: The selling price of a good or service refers to the final price set by the vendor; in other words,…

Q: Total Average Fixed Variable fixed variable total Output Costs MC Costs Costs costs costs costs a.…

A: To complete the table given, different formulas are to be used.  Total Fixed Cost = 100 (as given…