hand write..solve 15 mins. I'll give you multiple upvote [16] Operating in the short run with one fixed input and one variable input, the marginal product of thevariable input is given as: MP = 10- X, where X is the quantity of the input. Suppose the output price equals3 and the price of the variable input equals 15. Interested in maximizing profit, the firm should utilizeunits of the variable input.A.В.3C.D.9.8[17] A wheel of cheddar cheese costs Amrit $40, and a night at a Broadway show costs him $100(including the ticket, parking, etc.). Suppose when Amrit maximizes his utility, subject to his budgetconstraint, his marginal utility from cheddar cheese is 8. Therefore, his marginal utility from a Broadwayshow must equal:A.В.3.220C.50D.100[18] Mr. Solow has an income of $20 which he is spending on wine and cheese in such amounts that hederives 25 utils of total satisfaction from the wine and 25 utils of total satisfaction from the cheese. Supposethe prices of wine and cheese are each S1. On the basis of this information we:A.cannot say whether or not Solow is buying wine and cheese in amounts that maximize his totalutility.can say that Solow should buy more cheese and less wine.can say that Solow should buy more wine and less cheese.can say that Solow is buying the utility-maximizing amounts of wine and cheese.В.C.D.[19] For Anandi, Pepsi is a good for which marginal utility is diminishing Accordingly, if the price ofPepsi increases, then the resulting decline in Anandi's quantity of Pepsi purchased will:necessarily increase her total utility from consuming Pepsinecessarily increase her marginal utility from consuming Pepsinecessarily decrease her total expenditures devoted to PepsiAll of the aboveA.B.C.D.

(16) Answer: Given Information, Marginal Product (MP) = 10 - X Output price = 3 Variable Price (Let…

[16] Operating in the short run with one fixed input and one variable input, the marginal product of the variable input is given as: MP= 10 - X, where X is the quantity of the input. Suppose the output price equals 3 and the price of the variable input equals 15. Interested in maximizing profit, the firm should utilize units of the variable input. A. В. 3 C. D. 9.8 [17] A wheel of cheddar cheese costs Amrit $40, and a night at a Broadway show costs him $100 (including the ticket, parking, etc.). Suppose when Amrit maximizes his utility, subject to his budget constraint, his marginal utility from cheddar cheese is 8. Therefore, his marginal utility from a Broadway show must equal: A. B. 3.2 20 C. 50 D. 100

[16] Operating in the short run with one fixed input and one variable input, the marginal product of the variable input is given as: MP= 10 - X, where X is the quantity of the input. Suppose the output price equals 3 and the price of the variable input equals 15. Interested in maximizing profit, the firm should utilize units of the variable input. A. В. 3 C. D. 9.8 [17] A wheel of cheddar cheese costs Amrit $40, and a night at a Broadway show costs him $100 (including the ticket, parking, etc.). Suppose when Amrit maximizes his utility, subject to his budget constraint, his marginal utility from cheddar cheese is 8. Therefore, his marginal utility from a Broadway show must equal: A. B. 3.2 20 C. 50 D. 100

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 table below shows the short-run production function for Michelle's Accounting Company. Number of Bookkeepers Total Product per Hour 1 8 2 20 3 40 4 55 5 65 6 70 7 65 8 55 (a) After which bookkeeper do diminishing marginal returns begin for Michelle's Accounting Company? Explain using numbers. (b) Assume Michelle's Accounting Company sells its accounting services in a perfectly competitive market at a price of $20. Calculate the marginal revenue product of the sixth bookkeeper. Show your work. (c) Michelle's Accounting Company hires bookkeepers in a perfectly competitive labor market for bookkeepers at a wage rate of $110 per hour, and the market price of services remains $20. How many bookkeepers will Michelle's Accounting Company hire to maximize its profit? Explain using marginal analysis. (d) Assume bookkeepers and accounting software are substitutes in providing accounting services by all accounting firms in the market. If accounting software, a…
a) suppose in the short run the amount of machines she has is fixed at 27. How many mixers should she use? How many baklavas will she produce? How much profit will she make? b) using an isoprofit line, as well as the production function, draw a diagram of your solution from a). Carefully label all the slopes and intercepts. c) In the long run, how many mixers should she use? How many machines? How many baklavas will she make?