Fill in the values in the Marginal Cost, Total Revenue, and Marginal Revenue columns in the following table and then answer the questions that follow. Quantity Total Cost (Dollars) Marginal Cost (Dollars) Total Revenue (Dollars) Marginal Revenue (Dollars) Average Total Cost (Dollars) (Board games) 1 2 3 4 5 6 7 8 Price (Dollars per game) 16.00 14.00 10.00 8.00 6.00 4.00 2.00 0.50 Based on your calculations, the firm will 12 18 21 24 35 48 63 80 Under monopolistic competition, a typical firm will produce Fill in the Average Total Cost column in the previous table. board games at a price of $ Based on your calculations, the level of excess capacity in this monopolistically competitive market is per board game in the short run.

Fill in the values in the Marginal Cost, Total Revenue, and Marginal Revenue columns in the following table and then answer the questions that follow. Quantity Total Cost (Dollars) Marginal Cost (Dollars) Total Revenue (Dollars) Marginal Revenue (Dollars) Average Total Cost (Dollars) (Board games) 1 2 3 4 5 6 7 8 Price (Dollars per game) 16.00 14.00 10.00 8.00 6.00 4.00 2.00 0.50 Based on your calculations, the firm will 12 18 21 24 35 48 63 80 Under monopolistic competition, a typical firm will produce Fill in the Average Total Cost column in the previous table. board games at a price of $ Based on your calculations, the level of excess capacity in this monopolistically competitive market is per board game in the short run.

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

Use the following table to answer questions 49 and 50. Reservation Prices and Costs in Econland for a Widget Reservation Cost to price for one widget $18 make oneS widget $2 person person D1 S1 D2 16 4 S2 D3 14 6. S3 D4 12 8. S4 D5 10 10 S5 D6 8. 12 S6 D7 14 S7 D8 4 16 S8 D9 18 S9 D10 20 S10 49. The table above provides reservation prices and costs of the inhabitants of Econland. Suppose we have an allocation where D7 consumes a widget but D1 does not. This is not Pareto Efficient because: a. D1 could give D7 $1 for the widget, and both are better off b. D1 could give D7 $10 for the widget, and both are better off c. D1 could give D7 $20 for the widget, and both are better off d. D1 could give D7 $5 for the widget, and both are better off e. None of the above 50. Suppose we have an allocation where S1, S2, S3, S4 and S5 produce a widget, and D1, D2, D3, D4 and D5 consume a widget. a. This is not Pareto efficient because we can have S9 sell to D1 for $18, S8 sell to D2 for $16, S7 sell…
Price and cost (dollars) 50 40 .ATC 10 MC MR 10 Quantity (thousands of households) 20 30 40 50 The above figure represents the market for cable television in Oakland, Florida. Time Warner Communications (TWC) is the sole provider of cable television to the residents of this Central Florida community. If TWC is left unregulated, what is the price of cable television in Oakland? $20 $30 $10 $40 30 20
The graph below depicts the revenue and cost curves for a firm operating in the athletic apperal market. Price, Costs (dollars) $24 $22 $20 $18 $16 $14 $12 $10 $8 $6 $4 $2 es is 0 Athletic Apparel 20 40 MC MR D Quantity ATC 60 80 100 120 140 Tools X Profit a. To maximize its profits, the firm should produce [ and charge a price of $[ b. What area represents the firm's profit? Instructions: Use the tool provided "Profit" to illustrate the profit for the firm. c. At its profit-maximizing level, profits are $
Del's and Rodney's are two plumbing services in a gentrifying area of South East London. Within the area they service, the two firms operate as a duopoly and together serve one hundred percent of the available local market. One of their key lines of business is visiting customer's homes to install a new shower rail. A student project has been investigating the local plumbing business and has estimated the following information for Del's and Rodney's: Total demand for new shower rails per week is given by P = 200 - 4Q Where Q is total market demand and can be divided between Del's (qd) and Rodney's (qr) such that Q = qd + qr Assuming that the marginal cost of serving an extra customer is £40 for each, and that marginal revenue for Del is given by MRd 2008qd - 4qr And marginal revenue for Rodney is given by MRr Then 2008qr - 4qd 8 CONTINUED
Move the cursor to draw the marginal revenue curve using the information in the following table. Quantity Produced 0 1 2 3 4 5 6 80 70 60 50 400 30 20 10 07 Price ($) 80 75 70 65 60 55 50 2 Total Revenue ($) 0 75 140 195 240 275 300 Marginal Revenue ($) 3 4 Quantity Produced 5 6
QUESTION 19 In this graph A the green line and red line only meet at Park Street The red line is most likely total cost the green line is most likely total revenue profit is maximized when the distance between the green line above the red line is the maximum
Use the table to find the required value: Price $32 Quantity 400,000 Explicit Costs $3,500,000 Implicit Costs $4,100,000 Calculate the economic cost.
4
1. Price and output in a competitive price-searcher market Consider a price-searching firm, Sean's Fire Engines, which sells fire engines in the fictional country of Pyrotania. Initially, Sean's produced six fire engines but then decided to increase production to seven fire engines. The following graph shows the demand curve the firm faces. To sell the additional engine, Sean's must lower its price from $100,000 to $50,000 per engine. (Hint: Sean's Fire Engines gains revenue from the additional engine it sells, but it also loses revenue from the initial six engines because it sells them all at the lower price.) On the following graph, use the purple rectangle (diamond symbols) to shade the area representing the revenue lost from the initial six engines by selling at $50,000 rather than $100,000. Then use the green rectangle (triangle symbols) to shade the area representing the revenue gained from selling an additional engine at $50,000. re engine) 250 225 200 Q Search Revenue Lost Col
The Orlando Magic is the National Basketball Association (NBA) professional basketball team that plays at the Amway Center in downtown Orlando. Which of the answer choices best describes a VARIABLE COST for the Orlando Magic? O The Magic's advertising expense for its "Go Magic!" television commercials. The Magic's 13-player roster, including guard Devin Cannady and center Mo Bamba. O The Magic's ticket price of $257 to sit in the Legends Seats. The rent that the Magic pays the City of Orlando for use of the Amway Center.
If the theater starts to charge $796.25 for these seats, the theater will sell (a) premium seats a week. Scalpers will charge (b) , which is (c) more than the price listed at the theater’s box office (give your answers to two decimals).
Maria manages a bakery, that specializes in ciabatta bread, and has the following information on demand and costs: Ciabatta Bread Sold Per Price Total Cost Hour (Q) (P) (TC) $6.00 $1.50 1 5.50 5.00 2 5.00 7.50 3 4.50 9.50 4 4.00 11.00 3.50 12.00 6 3.00 12.50 7 2.50 13.50 8 2.00 15.50 a. To maximize profits, Maria should sell loaves of ciabatta bread per hour. (Enter your response as an integer.)