The table below shows the daily costs of Corny's Corn Cobs. Corny's sells corn by the dozen in a purely competitive market. The market price is $7.40 for a dozen ears of corn. Quantity (Dozens of Ears) 8 11 13 15 16 18 19 20 Corny's Corn Cobs AVC ($) 5.00 $ 4.50 4.60 4.70 4.90 5.10 5.30 5.50 ATC ($) 12.50 10.00 9.20 8.80 8.60 8.50 8.50 8.50 MC ($) 2.50 3.30 5.00 5.70 6.50 7.40 8.00 9.50 Instructions: In part a, enter your answer as a whole number. In part b, round your answer to 2 decimal places. Enter a loss as a negative (-) number. a. In the short run, if Corny's wants to maximize profits, how much corn should it produce? dozen ears of corn per day b. Assuming that Corny's produces in the short run, what will Corny's profit or loss be per day? per day c. In the short run, assuming nothing else changes, Corny's should O produce a lower quantity of corn per day. shut down, because the market price is above the AVC. O produce the same quantity of corn per day. O produce a greater quantity of corn per day. d. If the short-run price of corn falls to $4.30 per dozen, Corny's should O produce the same quantity of corn per day. O produce a greater quantity of corn per day. 58! O produce a lower quantity of corn per day. shut down, because the market price is below the AVC.
The table below shows the daily costs of Corny's Corn Cobs. Corny's sells corn by the dozen in a purely competitive market. The market price is $7.40 for a dozen ears of corn. Quantity (Dozens of Ears) 8 11 13 15 16 18 19 20 Corny's Corn Cobs AVC ($) 5.00 $ 4.50 4.60 4.70 4.90 5.10 5.30 5.50 ATC ($) 12.50 10.00 9.20 8.80 8.60 8.50 8.50 8.50 MC ($) 2.50 3.30 5.00 5.70 6.50 7.40 8.00 9.50 Instructions: In part a, enter your answer as a whole number. In part b, round your answer to 2 decimal places. Enter a loss as a negative (-) number. a. In the short run, if Corny's wants to maximize profits, how much corn should it produce? dozen ears of corn per day b. Assuming that Corny's produces in the short run, what will Corny's profit or loss be per day? per day c. In the short run, assuming nothing else changes, Corny's should O produce a lower quantity of corn per day. shut down, because the market price is above the AVC. O produce the same quantity of corn per day. O produce a greater quantity of corn per day. d. If the short-run price of corn falls to $4.30 per dozen, Corny's should O produce the same quantity of corn per day. O produce a greater quantity of corn per day. 58! O produce a lower quantity of corn per day. shut down, because the market price is below the AVC.
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
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Question
Transcribed Image Text:The table below shows the daily costs of Corny's Corn Cobs. Corny's sells corn by the dozen in a purely competitive market. The
market price is $7.40 for a dozen ears of corn.
Quantity
(Dozens of Ears)
8
11
13
15
16
18
19
20
Corny's Corn Cobs
AVC
($)
5.00
$
4.50
4.60
4.70
4.90
5.10
5.30
5.50
ATC
($)
12.50
10.00
9.20
8.80
8.60
8.50
8.50
8.50
MC
($)
2.50
3.30
5.00
5.70
6.50
7.40
8.00
9.50
Instructions: In part a, enter your answer as a whole number. In part b, round your answer to 2 decimal places. Enter a loss as a
negative (-) number.
a. In the short run, if Corny's wants to maximize profits, how much corn should it produce?
dozen ears of corn per day
b. Assuming that Corny's produces in the short run, what will Corny's profit or loss be per day?
per day
c. In the short run, assuming nothing else changes, Corny's should
O produce a lower quantity of corn per day.
shut down, because the market price is above the AVC.
O produce the same quantity of corn per day.
O produce a greater quantity of corn per day.
d. If the short-run price of corn falls to $4.30 per dozen, Corny's should
O produce the same quantity of corn per day.
O produce a greater quantity of corn per day.
58!
O produce a lower quantity of corn per day.
shut down, because the market price is below the AVC.
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