Douglas Fur is a small manufacturer of fake-fur boots in Mississauga. The following table shows the company's total cost of production at various production quantities. Fill in the remaining cells of the table. Quantity Total Cost Marginal Cost Fixed Cost Variable Cost Average Variable Cost Average Total Cost (Pairs) (Dollars) (Dollars) (Dollars) (Dollars) (Dollars per pair) (Dollars per pair) 120 1 200 240 285 340 5 425 6. 540 On the following graph, plot Douglas Fur's average total cost (ATC) curve using the green points (triangle symbol). Next, plot its average variable cost (AVC) curve using the purple points (diamond symbol). Finally, plot its marginal cost (MC) curve using the orange points (square symbol). (Hint: For ATC and AVC, plot the points on the integer; for example, the ATC of producing one pair of boots is $200, so you should start your ATC curve by placing a green point at (1, 200). For MC, plot the points between the integers; for example, the MC of increasing production from zero to one pair of boots is $80, so you should start your MC curve by placing an orange square at (0.5, 80)). Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically. (? 200 175 ATC 150 125 AVC 100 Dollars per pair)
Douglas Fur is a small manufacturer of fake-fur boots in Mississauga. The following table shows the company's total cost of production at various production quantities. Fill in the remaining cells of the table. Quantity Total Cost Marginal Cost Fixed Cost Variable Cost Average Variable Cost Average Total Cost (Pairs) (Dollars) (Dollars) (Dollars) (Dollars) (Dollars per pair) (Dollars per pair) 120 1 200 240 285 340 5 425 6. 540 On the following graph, plot Douglas Fur's average total cost (ATC) curve using the green points (triangle symbol). Next, plot its average variable cost (AVC) curve using the purple points (diamond symbol). Finally, plot its marginal cost (MC) curve using the orange points (square symbol). (Hint: For ATC and AVC, plot the points on the integer; for example, the ATC of producing one pair of boots is $200, so you should start your ATC curve by placing a green point at (1, 200). For MC, plot the points between the integers; for example, the MC of increasing production from zero to one pair of boots is $80, so you should start your MC curve by placing an orange square at (0.5, 80)). Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically. (? 200 175 ATC 150 125 AVC 100 Dollars per pair)
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Douglas Fur is a small manufacturer of fake-fur boots in Mississauga. The following table shows the company's total cost of production at various production quantities.
Transcribed Image Text:Douglas Fur is a small manufacturer of fake-fur boots in Mississauga. The following table shows the company's total cost of production at various
production quantities.
Fill in the remaining cells of the table.
Quantity
Total Cost
Marginal Cost
Fixed Cost
Variable Cost
Average Variable Cost
Average Total Cost
(Pairs)
(Dollars)
(Dollars)
(Dollars)
(Dollars)
(Dollars per pair)
(Dollars per pair)
120
1
200
240
285
340
5
425
6.
540
On the following graph, plot Douglas Fur's average total cost (ATC) curve using the green points (triangle symbol). Next, plot its average variable cost
(AVC) curve using the purple points (diamond symbol). Finally, plot its marginal cost (MC) curve using the orange points (square symbol). (Hint: For
ATC and AVC, plot the points on the integer; for example, the ATC of producing one pair of boots is $200, so you should start your ATC curve by
placing a green point at (1, 200). For MC, plot the points between the integers; for example, the MC of increasing production from zero to one pair of
boots is $80, so you should start your MC curve by placing an orange square at (0.5, 80)).
Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically.
(?
200
175
ATC
150
125
AVC
100
Dollars per pair)
Transcribed Image Text:4
340
425
6.
540
On the following graph, plot Douglas Fur's average total cost (ATC) curve using the green points (triangle symbol). Next, plot its average variable cost
(AVC) curve using the purple points (diamond symbol). Finally, plot its marginal cost (MC) curve using the orange points (square symbol). (Hint: For
ATC and AVC, plot the points on the integer; for example, the ATC of producing one pair of boots is $200, so you should start your ATC curve by
placing a green point at (1, 200). For MC, plot the points between the integers; for example, the MC of increasing production from zero to one pair of
boots is $80, so you should start your MC curve by placing an orange square at (0.5, 80)).
Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically.
200
175
ATC
150
125
AVC
100
MC
75
50
25
1.
5
QUANTITY OF OUTPUT (Pairs of boots)
COSTS (Dollars per pair)
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