Darlene runs a pizza parlor in a medium-sized community where there are many such parlors. Assuming she sells 185 slices per day, and her daily fixed costs are $ 101 and daily variable costs are $ 230. In the short run, an economist would likely advise Darlene to shut down if price she can charge for a slice is $ Select one: a. None of the answers offered are correct. b. above 1.24 , but below 1.79 c. below 1.79 d. below 1.24 e. below 0.55

Darlene runs a pizza parlor in a medium-sized community where there are many such parlors. Assuming she sells 185 slices per day, and her daily fixed costs are $ 101 and daily variable costs are $ 230. In the short run, an economist would likely advise Darlene to shut down if price she can charge for a slice is $ Select one: a. None of the answers offered are correct. b. above 1.24 , but below 1.79 c. below 1.79 d. below 1.24 e. below 0.55

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Crabby Bob’s is a seafood restaurant in a beach resort in Delaware. Crabby Bob’s earns a profit each month from May through September, suffers losses in October, November, and April but remains open, and remains closed from December through March. Given that the restaurant market in this town is perfectly competitive, how would you explain Crabby Bob’s decisions?
When would a profit-maximizing firm shut down in the short run?
My answer was wrong can I be shown explained what the right answer is?
A firm is selling apples is profit-maximizing, but they're in a constant cost industry. The industry is perfectly competitive and currently in long-run equilibrium. Assume apples are a normal good and consumer income falls, and the firm continues to produce. 1. Illustrate the decrease in income in the short run with a cost curves graph. Make sure to highlight the area of loss.
A profit-maximizing firm decides to shut-down production in the short-run. Its total fixed cost of production is $100, i.e. TFC = $100. Which of the following statements is true? a If the firm produced, the firm's revenues would have been lower than $100. bIf the firm produced, the firm's total variable cost must be lower than $100. cIf the firm produced, the firm's losses would have been higher than $100. dIf the firm produced, the firm's total variable cost would have been higher than $100.
Analyze Perfect Competitive Market - In terms of cost, price, and profit write a paragraph in your own words plzz. No plagiarism. Provide unique solution
PQ 14.05 Reagan is a farmer and sells her wheat in a perfectly competitive market. Reagan produces 30,000 bushels of wheat for an average total cost of $7.50, marginal cost of $7.30, and average variable cost of $7.10. In the short-run, Reagan should produce more wheat if the current price is above, and should shut down if the current price is below Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a $7.50; $7.30 $7.50; $7.10 $7.10; $7.30 $7.10; $7.00 e $7.30; $7.10 f $7.30; $7.00
A profit-maximizing firm in a competitive market is currently producing 500 units of output. It has average revenue of $10, average total cost of $8, and fixed costs of $200. a. What is its profit? b. What is its marginal cost? c. What is its average variable cost? d. Is the efficient scale of the firm more than, less than, or exactly 100 units?
Consider the perfectly competitive market for sports jackets. The following graph shows the marginal cost ( MCMC ), average total cost ( ATCATC ), and average variable cost ( AVCAVC ) curves for a typical firm in the industry.
looking for help with my online homework question, it is not a graded assignment so I'm not sure why it was rejected previously. thank you.
Price Average total cost AVC Demand Marginal cost Marginal revenue Q Quantity Discuss the firm plotted on the figure. What type of firm do you see?is the firm operating at the optimal point of production? is the firm making a proht? s the firm operating in the short or in the long run?
What type of market competitive environment Amazon operates in?