Suppose the market for apples is perfectly competitive. The short-run average total cost and marginal cost of growing apples for an individual grower are illustrated in the figure to the right. 40- 36 Assume that the market price for apples is $26.00 per box. What is the profit-maximizing quantity for apple growers to produce? 75 boxes. (Enter your response as an integer.) MC 32 At this level of output, profit will be S 900. (Enter your response rounded to the nearest dollar.) 24- Apple growers will earn positive economic profit in the short run at any market price above $ place.) per box. (Enter your response rounded to one decimal ATC 16- 12- 40 50 Bo Output (boxes of apples per day) 30 70 a0 90 100 Price (dollars per box)
Q: 64. When Marginal Utility is zero, Total Utility is A. O Minimum B. O Maximum C. O Law of return D. ...
A: The satisfaction that is being derived by consumers from the consumption of service or goods is bein...
Q: In the market for gas, researchers have estimated the following demand and supply curves. Demand: P-...
A: Given Market demand for gas: P=17-Q100 .... (1) Market supply equation: P=3Q500 ...
Q: Cindy and Steven are recently married and are both chefs. They have recently graduated from culinary...
A: Let us calculate the monthly expenditure of Cindy and Steven Rent - $1125Cable and Internet - $75Joi...
Q: Find the equilibrium quantity and equilibrium price for the commodity whose supply and demand functi...
A: Given: The supply function is: P = q2 + 30q The demand function is: P = -2q2 + 10q + 3,300 To Find: ...
Q: 1. The strongest case for a rent ceiling via rent control is when . . . (a) Demand is inelastic beca...
A: A price ceiling prevents a price from rising above a certain level. Demanders outweigh supply in var...
Q: A) the government bears most of the incidence of a tax on gasoline. O B) sellers bear most of the in...
A: The industry is an important economic part that gives a closely related set of natural resources, go...
Q: The adverse selection of wage cuts is a theory for which phenomenon? deflation full employment infla...
A: Adverse selection: - Adverse selection is a problem that arises because of the difference in the kno...
Q: While individuals face trade-offs in consumption, as shown by the budget constraint. there is no suc...
A: Trade off occurs when resources are scarce. Scarcity refers to shortage of goods in terms of demand ...
Q: Are low-income delinquents reacting against middle-class values, as Cohen contends, or is there a lo...
A: Miller vs. CohenBoth Albert Cohen and Walter Miller believe that deviant subcultures emerge in margi...
Q: Suppose the following information on Nominal GDP and Average Prices. Use 2011 as your base year. Com...
A: Meaning of Gross Domestic Product (GDP): The term gross domestic product refers to the situation u...
Q: a) Employ the skill circle model and calculate skill range, skill range and total labor cost per wor...
A: Workers = 240 Training cost (T) = $ 1260 / hr Wage (W) = $80 / hr
Q: What is the interest earned on a P100,000 investment if it is held for 20 years at 4.3% simple inter...
A: A simple interest in the interest earned for a particular sum of money at some rate of interest for ...
Q: An investment of P100,000 is expected to yield a regular annual net income of P25,000 per year for 1...
A: Given that: Benefit = 25000Investment, or P = 100000n = 10i = 10%
Q: Given that velocity is 4, real GDP is 8, and the price level is 2. Suppose that the Central Bank dec...
A: Given Velocity v=4, real GDP Y =8 and price level P=2 We have to find percentage change in nominal ...
Q: Discuss the following statements : explain whether the statement is TRUE or FALSE, and provide justi...
A: Two utility functions that provide the same rank ordering of consumption bundles are positive monoto...
Q: Name WTP (in Taka) Name WTA (in Taka) Rahim (RA) Karim (KA) Jack (JK) Jones (JO) Rahima (RM) Karima ...
A: Willingness to pay (WTP) is the maximum amount that an individual would pay to obtain a good. Willi...
Q: lacroeconomics LESSON 6 ACTIVITY 42 Monetary Policy now bring together all of the pieces of the proc...
A: (A) Fed will use expansionary monetary policy to move the economy to full-employment level because t...
Q: Opportunity cost is all about making choices and how you adequately and effectively manage it. What ...
A: Managrial economics is a part of financial matters including the utilization of monetary techniques ...
Q: 1. Suppose that you want to write down a model to explain the observed relationship between aggregat...
A: The relationship between aggregate income and aggregate economic spending is determined on the basis...
Q: u(x,y) = x + y Px=9 Py=3 U=120 Solve for hicksian demand for good x and y
A: Given Utility function: ux,y=x+y ... (1) Price of good x Px =9 and price of good Y is PY...
Q: 180 Supply i i 10 25 80 90 QUANTITY (Units) For each of the regions, use the midpoint method to iden...
A: The elasticity of supply is defined as the responsiveness of the supply of a good or service in resp...
Q: A corporate expects to receive $36,144 each year for 15 years if a particular project is undertaken....
A: The difference between the present value of cash inflows and the present value of cash outflows over...
Q: Prohibiting the affordable housing lottery winners from subletting their apartments . . . (a) Essent...
A: Prohibiting the affordable housing lottery winners from subletting their apartments means to ban the...
Q: Answer if true or false. • Due to trade-off, Capital & Income has an inverse relationship.
A: "Since you have asked multiple questions, we will solve first question for you .. If you want any sp...
Q: 61. Productivity of land can be raised by A. O Extensive cultivation B. O Intensive cultivation C. O...
A: Increasing productivity of land is very essential for the better production of various crops in it. ...
Q: Why does the firm have to borrow the bank's liability rather than use its own? Explain briefly.
A: Start-ups and small businesses seeking to expand frequently have one thing in common: they require a...
Q: A start up business is considering two types of equipment - data are as follows: TYPE A TYPE B First...
A: Given that; Type A Type B Initial cost= P200,000 Initial cost= P300,000 Annual Operating Cos...
Q: Draw and AS-AD model of an economy suffering from unemployment. What is one fiscal policy that can b...
A: The aggregate demand curve shows the negative relationship between the price level and the total qua...
Q: The TopCar Industries manufactures and sells car components. The current annual sales volume is 500,...
A: Given; Annual sales= 500000 pieces Price= P0.50 Annual fixed expenses amount= P80,000
Q: A student loan with a simple annual interest rate of 2.5% must be paid back in tên years. A student ...
A: The formula for simple interest is given as : Simple interest = P×R×T100 Given : Interest payments =...
Q: S. D. D.
A: Due to soaring pandemic demand, there is a sudden increase in demand at the current price level. As ...
Q: On a small island two farmers, Inger and Johannes, are the only suppliers of freshly dug potatoes fo...
A: Profit maximization is a process business firms undergo to ensure the best output and price levels a...
Q: Skill Circle Model Assume a firm incurs overall labor costs of $22 per hour- which includes wages an...
A: In the above question, it is given that : Skill Circle Model Assume a firm incurs overall labor c...
Q: Say that the average worker in Argentina has a productivity of $15 per hour while the average worker...
A: Employee productivity (also known as workforce productivity) is a measurement of a worker's or group...
Q: The federal estate tax is a tax on property (cash, real estate, stock, or other assets) transferred ...
A: Estate tax: It is the tax that is imposed on the property when some individual died when the people ...
Q: The OEM company specializing in printed circuit board manufacturing has annual fixed expenses of P50...
A: The Break-even point is the point at which the price is charged where the total revenue equals the t...
Q: 6. When Marginal Utility is positive, Total Utility
A: To find: What happens to total utility when marginal utilities will be positive.
Q: LRAS You The long run aggregate supply (LR AS) diagramatical function is vertical because: I. The na...
A: Long run aggregate supply (LRAS) is a theoretical concept and refers to the output that an economy c...
Q: For questions 4-6: A firm has weekly revenue of $900. The firm's total cost is $1250 per week. The f...
A: Given; Profit= $900 TC=$1250 a) TC= FC+VC Therefore; FC+VC= $1250 Firm will shut down when TR>VC ...
Q: 6. a. Consider the following sequential game.
A: Since you have posted multiple questions, we will answer the first question for you. If you want us ...
Q: Macroeconomics LESSON 6 ACTIVITY 42 (coninued) (F) In the short run, what happens to the price level...
A: The forces of aggregate demand and aggregate supply determine the macroeconomic equilibrium of an ec...
Q: Price (dollars per unit) Price (dollars per unit) Quantity (units per month) Quantity (units per mon...
A: Deadweight loss refers to the loss to society due to inefficient quantity produced.
Q: Submit the answers to the following "review/critical thinking questions": 1. Name and explain some o...
A: There are some reasons why wages are likely to be sticky or rigid. This has been explained by Keynes...
Q: 3. Does minimum wage legislation have other effects? Explain with the help of a diagram. a. Explain:...
A: The lowest remuneration that could be paid by employers legally to the employees for doing work is k...
Q: In a market structure supply and demand determine prices and incentives are encouraged :Select one T...
A: Demand: - Demand is the relationship between the quantity demanded and the price of a good. There is...
Q: 2) A company purchased a machine for $20,000 and paid transportation cost of $5,000. At the end of 7...
A: Salvage value is the book value of an asset after all depreciation has been fully expensed. The salv...
Q: Describe the need versus the want for a Samsung cellphone.
A: Let us image the case of a farmer who produces barley. The farmer may receive many customers for his...
Q: Abbott wants to increase their marketing for Pedialyte leading up to St. Patrick's Day this year. Th...
A: Given information First Ad cost=$5000000 at week 2/13/2022 Second Ad cost on 3/6=$800,000 Sales on 2...
Q: If a tax is placed on tires, then the equilibrium quantity of tires will i. decrease. ii. a deadweig...
A: Producer surplus refers to the area above the supply curve and below the price.
Q: The term footing refers to the O Process of posting O Addition of column of figures O Process of obt...
A: Footing is the end balance when we sum all the debits and credits. Debits are tallied, followed by...
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 1 images
- Suppose Larry runs a small business that manufactures shirts. Assume that the market for shirts is a price-taker market, and the market price is $10 per shirt. The following graph shows Larry's total cost curve. Use the blue points (circle symbol) to plot total revenue and the green points (triangle symbol) to plot profit for the first seven shirts that Larry produces, including zero shirts. 125 100 TOTAL COST AND REVENUE (Dollars) 25 ☐ Total Cost ☐ -50 0 1 2 3 4 5 6 7 8 QUANTITY (Shirts) Total Revenue A Profit (?) Calculate Larry's marginal revenue and marginal cost for the first seven shirts he produces and plot them on the following graph. Use the blue points (circle symbol) to plot marginal revenue and the orange points (square symbol) to plot marginal cost. 25 2 COSTS AND REVENUE (Dollars per shirt) 0 1 2 3 5 6 7 8 QUANTITY (Shirts) Marginal Revenue Marginal Cost Larry's profit is maximized when he produces is shirts. When he does this, the marginal cost of the previous shirt he…Amos McCoy is currently raising corn on his 100-acre farm and earning an accounting profit of $100 per acre. However, if he raised soybeans, he could earn an accounting profit of $200 per acre. Is he currently earning an economic profit? Why or why not?1. Emad is a lettuce supplier in a perfectly competitive lettuce market in Kuwait. If the demand for lettuce in Kuwait is given by: Qo = 40,000 – 10,000P, Where Q is the quantity of lettuce boxes and P is the price of a lettuce box. In the short-run, Emad's has the following total cost function for his production of lettuce: TCimad = 0.25Q +Q +3 Assume that Emad is one of 1000 sellers in the Kuwaiti lettuce market with identical costs. Answer the following questions: e. wnat is tne market suppiy tunction in the short-run? 1. What is the short-run equilibrium price and equilibrium quantity in this market? g. Draw a rough sketch of the market demand and supply functions, showing the optimal point and all intersections with the horizontal and vertical axes. h. What is the demand function for Emad's lettuce in the short-run?
- Farmer Jones grows apples. The average total cost and marginal cost of growing apples for an individual farmer are illustrated in the graph to the right Assume the market for apples is perfectly competitive 40- According to the graph, farmer Jones will eam profit (positive economic profit as opposed to losses) at any market price above $ 10 per box. (Enter a numeric response using an integer) Assume that the market price specifically is $24 per box Iffarmer Jones produces the profit maximizing quantity, what will be her profit? S 36- To more easily identify the price and quantity, click on the graph to the nght, and then adjust the slider to change the price and quantity Each increment will increase the prce by $2. 32- MC 28- 24- 20- 16- ATC 12- 8- 4- :46 10 20 30 40 50 60 70 80 90 100 Quantity of Apples (boxes per month) Price and cost (dollars per box)Assume that a firm in a competitive market faces the following cost information. If the market price for this firm's product is $40, calculate the profit maximizing level of output for this firm using marginal analysis. It may help to create your own cost table and fill in columns for Marginal Cost and Average Total Cost based on the Total Cost information below. a.What is the level of profit for this firm at the profit maximizing output? b.To convince yourself that the quantity you found is indeed the profit maximizing quantity, try calculating what the profit would be at the next higher level of output. What did you find? c. What do you predict will happen in this market over the long run?1-> O O O O Suppose the market for peaches is perfectly competitive. The short-run average total cost and marginal cost of growing peaches for an individual grower are illustrated in the figure to the right. Assume that the market price for peaches is $6.50 per box. What is the profit-maximizing quantity for peach growers to produce? boxes. (Enter your response as an integer.) At this level of output, profit will be $. (Enter your response rounded to the nearest dollar.) Peach growers will earn positive economic profit in the short run at any market price above $ per box. (Enter your response rounded to one decimal place.) Price (dollars per box) 10- 9- 8- 7- 6- 4- 3- 2- 1 0 MC ATC 10 20 30 40 40 50 60 70 80 90 100 Output (boxes of peaches per day) Q Next
- What are the short-run and long-run costs of the production of Walmart?Suppose that the market for dress shirts is a perfectly competitive market. The following graph shows the daily cost curves of a firm operating in this market. (?) 50 45 Profit or Loss 40 35 30 АТС 25 20 15 10 AVC MC 4 8 12 16 20 24 28 32 36 40 QUANTITY OF OUTPUT (Shirts) PRICE AND COST (Dollars per shirt)The WipeOut Ski Company manufactures skis for beginners. Fixed costs are $30. Fill in Table 7.16 for total cost, average variable cost, average total cost, and marginal cost., now imagine a situation where the firm produces a quantity of 5 units that it sells for a price of $25 each. a. What will be the company’s profits or losses? b. How can you tell at a glance whether the company is making or losing money at this price by looking at average cost? c. At the given quantity and price, is the marginal unit produced adding to profits?
- Farmer Smith grows wheat. The average total cost and marginal cost of growing wheat for an individual farmer are illustrated in the graph to the right. 10- MC 9- ATC Suppose the market for wheat is perfectly competitive. If the market price is $8 per bushel, then to maximize profits, farmer Smith should produce thousand 8- Price bushels of wheat. (Enter a numeric response using an integer.) 4- 3- 2- 10 20 30 40 Quantity of wheat (bushels per month in 1000s) 50 60 70 80 90 100 Price and cost (dollars per bushel)Sarge's Lawn Mowing Service is a small business a perfectly competitive market. The prevailing market price of lawn mowing is $20 per acre. Sarge's costs are given by total cost = 0.1q² + 10q + 50, where q = the number of acres Sarge chooses to cut a day. How many acres should Sarge choose to cut to maximize profit? values without any comma, or decimal places.) How much is Sarge's maximum daily profit? your answer in numerical values without any dollar sign, comma or decimal place (please put your answer in numerical (please putUse the following table and use your previous calculations: find the quantity where ATC is at a minimum and find the quantity that is the most efficient operating point for the firm. Total Output Total Cost TFC TVC AFC AVC ATC MC 0 $20 10 $40 20 $60 30 $90 40 $120 50 $180 60 $280 a. MC = ATC between 30 and 40 Quantity ATC at minimum between 20 and 40 Quantity b. MC = ATC at 30 Quantity ATC at minimum between 20 and 40 Quantity c. MC = ATC at 40 Quantity ATC at minimum between 20 and 40 Quantity d. MC = ATC between 30 and 40 Quantity ATC at minimum between30 and 40 Quantity e. MC = ATC between 20 and 40 Quantity ATC at minimum between 20 and 40 Quantity