Abdullah has his own Auto Shop and produces one type of service. He spends 250 KD a month to rent a building for his company, 450 KD a month for renting the equipment, and 8 KD for one hour of work. Abdullah produced 90 services this month at a price of 15 KD. He has used 50 working hours. Calculate: 1. Abdullah's fixed cost 2. Abdullah's total cost of producing 90 services 3. Abdullah's revenue when he sold 90 services 4. Abdullahs average total cost when he sold 90 services

Abdullah has his own Auto Shop and produces one type of service. He spends 250 KD a month to rent a building for his company, 450 KD a month for renting the equipment, and 8 KD for one hour of work. Abdullah produced 90 services this month at a price of 15 KD. He has used 50 working hours. Calculate: 1. Abdullah's fixed cost 2. Abdullah's total cost of producing 90 services 3. Abdullah's revenue when he sold 90 services 4. Abdullahs average total cost when he sold 90 services

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter7: Production, Costs, And Industry Structure

Section: Chapter Questions

Problem 33CTQ: Average cost curves (except for avenge fixed cost) tend to be U-shaped, decreasing and then...

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