Assume a firm has fixed costs of $80 and variable costs as indicated in the table below. Complete the cost table.| Total product | Total variable cost | Total cost | AFC | AVC | ATC | MC ||---------------|---------------------|------------|-----|-----|-----|----|| 0 | $0 | $80 | | | | || 1 | 110 | 190 | | | | || 2 | 150 | 230 | | | | || 3 | 180 | 260 | | | | || 4 | 220 | 300 | | | | || 5 | 270 | 350 | | | | || 6 | 340 | 420 | | | | || 7 | 450 | 530 | | | | || 8 | 580 | 660 | | | | |Here, AFC stands for Average Fixed Cost, AVC for Average Variable Cost, ATC for Average Total Cost, and MC for Marginal Cost.To calculate:- **AFC** = Total Fixed Cost / Total Product- **AVC** = Total Variable Cost / Total Product- **ATC** = Total Cost / Total Product- **MC** = Change in Total Cost / Change in Total Product

Average cost represents the per unit cost of production. Marginal cost is the incremental cost of…

Answered: Total variable Total product Total cost…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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The variable cost for the small business is shown below. What is the marginal cost and average cost at a volume of 14 units? Cost $8000 $6000 $4000 $2000 $200/unit Volume marginal cost: $200/unit, average cost: $476/unit O marginal cost: $200/unit, average cost: $300/unit O None of them marginal cost: $300/unit, average cost: $800/unit $300/unit 10 Total cost Variable cost Fixed cost 15
Calculate price per unit of table if total revenue is $6600 and the output sold is 30 units
The cost, in millions of dollars, of building a three-story high school in NewYork State was estimated to be:   2C x x x x      1.7 0.14 0.0001 20 400where x is the number of thousands of square feet. Suppose that you arecontemplating building a for-profit three-story high school and estimate thatyour total revenue will be $0.2 million dollars per thousand square feet.(a) What is minimum area for a three-story high school in New YorkState, that this model covers? (b) What is the variable cost of building a three-story high school in NewYork State? (c) What is the fixed cost of building a three-story high school in NewYork State? (d) Determine the profit function,P x( ), for building a three-story highschool in New York State? . (e) Determine,P(250) , for building a three-story high school in New YorkState, and interpret the result. (f) How many thousands of square feet should a three-story high schoolbuilding in New York State be in order to break even?
Calculate total profit when total revenue is $9000 and the total cost is $8700
Bags/Participants Fixed Cost Variable Cost Total Cost 0 $1,700 $ - $1,700 100 $1,700 $500 $2,200 200 $1,700 $1,200 $2,900 300 $1,700 $2,700 $4,400 400 $1,700 $5,200 $6,900 500 $1,700 $9,000 $10,700 600 $1,700 $15,000 $16,700 700 $1,700 $23,800 $25,500 800 $1,700 $36,800 $38,500 900 $1,700 $55,800 $57,500 1,000 $1,700 $83,000 $84,700 Given the above information on cost, if you charge $15 per entry, what is the breakeven quantity of bags that you should order? At what quantity of bags will profits be maximized? A Use the profit maximizing rule, MR ≥ MC, buy 300 bags. B Use the profit maximizing rule, MR ≥ MC, buy 200 bags. C Use Qb = F/(MR-AVC) where Qb is the breakeven quantity to be determined, the optimal quantity of bags is 300. D Use Qb = F/(MR-AVC) where Qb is the breakeven quantity to be determined, the optimal quantity of bags is 200.
A jeweler is considering producing a limited edition diamond bracelet, and she is trying to decide how many bracelets to produce. The table gives her estimated total cost for various production levels as well as the price she would charge for each bracelet. Number of bracelets 100 200 300 400 500 600 Total cost (thousands) Price per bracelet $215 $7900 $420 $7400 $625 $5900 $820 $5000 $1015 $4200 $1205 $3600 (a) of the production levels listed in the table, which gives the highest profit? (b) Estimate the marginal cost and marginal revenue when 400 bracelets are made. marginal cost $ marginal revenue $
What’s the the total fixed costs 8 10 12 Or 15

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Total variable Total product Total cost cost AFC AVC ATC MC $ 80 110 190 150 230 180 260 *220 300 270 350 340 420 440 520 580 660