The table below shows the relationship between the number of housekeepers hired by a small hotel and the number of rooms cleaned per day. The hotel pays each housekeeper a fixed salary of $90 a day. It has also leased a fixed number of two vacuum cleaners and pays $10 for each of them (or $20 in total) per day. Assume no other fixed or variable costs. Given this information and the first two columns of the table below, fill in the table by calculating the marginal product of each worker, FC, VC, TC, AFC, AVC, ATC and MC. Plot this hotel's production function. On a separate graph, plot the marginal product of labor as a function of the number of workers. On a third graph, plot the FC, VC and TC.

The table below shows the relationship between the number of housekeepers hired by a small hotel and the number of rooms cleaned per day. The hotel pays each housekeeper a fixed salary of $90 a day. It has also leased a fixed number of two vacuum cleaners and pays $10 for each of them (or $20 in total) per day. Assume no other fixed or variable costs. Given this information and the first two columns of the table below, fill in the table by calculating the marginal product of each worker, FC, VC, TC, AFC, AVC, ATC and MC. Plot this hotel's production function. On a separate graph, plot the marginal product of labor as a function of the number of workers. On a third graph, plot the FC, VC and TC.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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