The major business of a company is making and selling calculators. The fixed cost is $35,000 per month, and the variable cost is $40 per calculator. The selling price per unit is p = 140 -0.02 D. The maximum output of the plant is 4,200 units per month.
Q: The following graph plots the market for electric guitars in Houston, where there are always over…
A: Two goods are said to be substitute when one good can be used instead to other. This means the…
Q: Suppose you are the chief economist in Econland and the current unemployment rate is 2 percent and…
A: The unemployment rate is a measure used to assess the percentage of the labor force that is jobless…
Q: Which of the following would be found in the goods market? a) Fibre optic cables or mobile phone…
A: The goods market refers to the sector of the economy where tangible products or physical goods are…
Q: 8. Market equilibrium The following table shows the annual demand and supply in the market for shoes…
A: The demand curve depicts the inverse relationship between price and quantity demanded, keeping other…
Q: In the economy of Queensland, two products (Sta and Star) are prominent due to their quality and…
A: The quantity of a good or service demanded divided by the price change in percentage is known as the…
Q: Chapter review questions QUESTION 1 In chapter 1 and 2, we modeled growth in an economy by a growing…
A: To answer Part B, we need to answer Part A's few subparts.
Q: Assuming that there were other services providers in Nigeria besides FiberOne before the entry of…
A: A perfectly competitive firm refers to an economic concept that represents a firm operating within a…
Q: Figure 17-2 This figure depicts a situation in a monopolistically competitive market. 100 90 80 70…
A: A monopolistically competitive firm belongs to a market structure that combines elements of both…
Q: The coronavirus pandemic of 2019 has seen massive economic disruptions all over the world. In the…
A: The overall effectiveness and stability of an economy are greatly influenced by macroeconomic…
Q: hich of the following is one of the four economic ginciples of individual decision making?…
A: Economic principles refers to basic bits of insight or regulations that give a system to grasp how…
Q: Question 5 If the Nigerian government were to enforce a price floor of US $20... a) Both Starlink…
A: A price floor is a government-imposed minimum price set above the equilibrium price in a market. It…
Q: A project is being considered that has a first cost of $12,500, creates $5000 in annual cost…
A: Given:A project has a first cost of = $12,500The project's annual cost saving is = $5,000Annual…
Q: Assume that Nigerian economy represented by PPF diagram with agriculture on the X axis and education…
A: Production Possibility Frontier (PPF) shows all the different combinations of the output of two…
Q: Starlink's Price Strategy High Price Low Price FiberOne's Price Strategy High Price Starlink+$200…
A: Nash equilibrium is the point of a game corresponding to which each participant optimizes his…
Q: In 2012, the economy of country Z had consumption of $2,200,000, exports of $65,000, investment of…
A: Given:Consumption expenditure in country Z =2,200,000Export X=$65,000Investment I=530,000Import…
Q: Assume that a perfectly competitive firm faces the market equilibrium price P*=$6. When the firm…
A: The perfectly competitive market refers to market where single buyer or seller can not influence the…
Q: me following graph shows the market for loanable funds in a closed economy. The upward-sloping…
A: The market in which the person or institution having excess money transacts to exchange the same…
Q: Determine the depreciation deduction and the unrecovered investment during each of the first 4 tax…
A: The Modified Accelerated Cost Recovery System (MACRS) is the tax depreciation system used in the…
Q: Assume that employment decreases by 3%. Holding all other factors constant, we know with certainty…
A: In the Solow model without technological development, the output is determined by means of labor and…
Q: Q3. A company manufactures two products. If it charges a price p, for product i, it can sell qi…
A: We have to find prices in terms of quantity
Q: Question 3 An engineer has received two bids for an elevator to be installed in a new building. The…
A: The main objective of a benefit-cost analysis is to determine whether the benefits of a project…
Q: PRICE Graph (a) MR QUANTITY MC ATC D PRICE Graph (b) MR QUANTITY Figure 17-4 MC ATC D PRICE Graph…
A: A monopolistically competitive industry is a market structure characterized by multiple firms that…
Q: Suppose the Federal Reserve sets the reserve requirement at 10%, banks hold no excess reserves, and…
A: The money multiplier alludes to the possible expansion in the money supply that can be created by…
Q: What is the total number of strategies available to resident 1?
A: A sequential game is a type of game in game theory where players make decisions following a certain…
Q: Calculate the rate of growth of output per worker.
A: Y/L = A(K/L) y = A k rate of growth of capital per worker = dkdk = savings - ( depreciation + pop…
Q: 3. Partial equilibrium You suffered through 1 and 2 (and later, 4), so I'm just going to give you…
A: Market supply refers to the total quantity of a good or service that all sellers or producers are…
Q: If it's expected that the incomes of people living in rural Nigeria is expected to increase, what…
A: Price discrimination is a selling strategy by a firm that charges customers different prices for the…
Q: The maximum loss a firm should experience in the short run is equal to: a) a) zero b) b) total costs…
A: In the short run, the firm will not exit the market if the average total cost exceeds the price…
Q: Delegated Monitoring Model: Suppose the central bank has increased the interest rate and depositors…
A: The Delegated Monitoring Model is an economic framework used to analyze the relationship between…
Q: You are part of the Project Evaluation Committee in ProTiga Bhd., one of the automotive manufacturer…
A: Company has a choice between two projects:Project a)Aqcuring cost/ Initial cost = RM1.3 billion =…
Q: Practice Questions 1. What is meant by the balance of payments? 2. What economic transactions give…
A: The balance of payments is an efficient record of all economic transactions between a country and…
Q: Consider a used car market where buyers cannot observe the car's true quality until after purchase…
A: Game theory uses the idea of Bayesian Nash equilibrium. Players in a Bayesian Nash equilibrium give…
Q: Starlink is a satellite-based internet service. It is set to be rolled out elsewhere on the…
A: An individual’s willingness to pay for each unit of the quantity he or she wishes to consume is…
Q: Explain, with the aid of a graph, the effect of an increase in income on the equilibrium price and…
A: Meaning of Inferior Good:The term inferior good refers to a negative or inverse relationship between…
Q: A small country is considering imposing a tariff on imported wine at the rate of $5 per bottle.…
A: The producer surplus refers to the difference between the producers' minimum willingness to accept…
Q: A Nigerian household would have to make a decision on whether to purchase Starlink’s internet…
A: Economic concepts refer to fundamental ideas or principles that form the basis of understanding and…
Q: SA banks accused of 'collusion' Apart from the multiple allegations of overcharging of black…
A: Economic theory for businesses is the hands-on application of theoretical principles and concepts to…
Q: A machine that costs $12,000 is expected to operate for 10 years. The estimated salvage value at the…
A: Answer a)The following calculation is done to calculate IRR
Q: Two mining companies, Red and Blue, bid for the right to drill a field. The possible bids are $ 15…
A: Game theory now has an extensive spectrum of applications, ranging from financial competitiveness…
Q: There are two industries, z and y, with the following production functions: x = √k₂ + √₂ y =(√k₂ +…
A: Production functions - x = (kx)0.5 + (lx)0.5y = [(kx)0.5 + (lx)0.5]2Endowments -lx + ly = 4kx +…
Q: Question 11 Assuming that there were other services providers in Nigeria besides FiberOne before the…
A: 11. The correct answer here is option a, i.e point d. As it is mentioned before in the question,…
Q: Cote d'Ivoire now outlaws the use of child l on cocoa farms and the law is properly enforced. Using…
A: One of the factors that affect the supply of a good is the cost of production or raw material.When…
Q: ich Defined Benefit Pension Plan income option will provide the highest monthly pension income to…
A: A benefit can be described as an outcome that is a positive or advantage gained by a person or…
Q: a) Find the optimal level of labour and capital.
A: Q = 8K0.50L0.25 ------> Production functionPrice of product (P) = $100Wage rate (W) = $5Price of…
Q: ou decided to go and apply for a credit card at your local financial institution. The Prime rate…
A: Prime rate : The interest rate that banks charge their most creditworthy customers . It serves as…
Q: 1.Which of the following best describes the demand of a flu vaccine? A.Demand for flu vaccine is…
A: Demand refers to the quantity of a goods or services that a consumer is willing and able to buy at a…
Q: You are considering investing in ICI. Suppose ICI is currently undergoing expansion and is not…
A: Given,Expected growth rate: for first years. afterwards
Q: Assume the market demand function of gasoline is QD = 500 – 50P, in which QD is at a unit of…
A: If the amount demanded of a product considerably fluctuates in response to price fluctuations, it is…
Q: You have been asked to evaluate the profitability of building a new distribution center under the…
A: Net present value refers to the present value of all the future cash flows that are adjusted…
Q: Question 4 When Starlink entered the Nigerian internet services market in Janu. a) The demand curve…
A: Demand can be defined as the quantity of goods or services that consumers are desires and able to…
D1.
Step by step
Solved in 4 steps
- The cost, in dollars, of producing x yards of a certain fabric is C(x) = 900 + 12x - 0.1x² +0.0005x³ and the company finds that if it sells x yards, it can charge p(x) = 27-0.00021x dollars per yard for the fabric. (a) Graph the cost and revenue functions. y 8000 6000 4000 2000 y 15 000 10 000 5000 R C 100 R =² C 100 200 200 300 300 X 400 400 X Use the graph to estimate the production level for maximum profit. 283.092 x yards y 15 000 10 000 5000 y 15 000 10 000 5000 R 100 R C 100 200 200 (b) Use calculus to find the production level for maximum profit. (Round your answer to two decimal places.) 186.63 yards 300 300 400 400 XThe figure shows graphs of the total cost function and the total revenue function for a commodity. (Assume cost and revenue are measured in dollars.) 500 400 300 200 100 میرا 10 20 30 (a) Label each function correctly. function A -Select- function B -Select- (b) Determine the fixed costs. (c) Locate the break-even point. A B 40 50 60 Determine the number of units sold to break even. units (d) Estimate the marginal cost MC and marginal revenue MR. MC = MR-(1) The revenue for a product is R(x) = -0.004x? + 21x cost is C(x) = 0.02x + 38, for x units produced and sold. (a) Find the marginal profit for 2800 units. (b) Should output be increased or decreased to generate a higher profit? 6200 and the
- (c) What is the cost of the 4,098th tux? (d) What is the variable cost? LA What is the fixed cost? $ What is the marginal cost? taReven costs Co Fevenue 100 300 400 Figure 2 14) Based on the information in Figure 2, the total fixed costs are equal to: (a) £100level of output. (b) £2. (c) £100 * level of output. (d) £100. (e) £500.100 90 80 ATC AVC 20 10 MC 10 15 20 25 30 35 40 45 50 QUANTITY (Thousands of blenders) ch a Desktop PRICE (Dollars per blender) 8 & 8 8 8
- Cost/Unit $30 $23 $20 $18 $10 25 ATC₁ 30 ATC₂ 40 ATC₂ 45 ATC4 Output. A call center in India used by U.S. andU.K. credit card holders has a capacity of1,400,000 calls annually. The fixed cost ofthe center is $775,000 with an averagevariable cost of $2 and revenue of $3.50 percall.(a) Find the percentage of the capacitythat must be placed each year tobreak even.The figure below shows graphs of the fixed cost function, total cost function and the total revenue function for a certain commodity. 20 8000 7000 6000 5000 4000 Dollars ($) 3000 2000 1000 -10 -1000+ 10 20 30 40 Units (a) What is the break-even point? (x,y) e.g. (295,7650) (b) What are the fixed costs? $ TR Percent of capacity= 50 60 TC If the selling price per unit is $50, and the variable cost per unit is $40: FC 70 80 90 100 enter the answer in the form (c) If the maximum production capacity of the commodity is 110, express the break-even units as a percent of capacity? % (round to two decimal places if necessary)
- You are presented with the following break-even chart of GHI Company. They have budgeted sales of 75 000 units. You are required to use the chart to assist you in answering the questions posed below. Break-even chart for GHI Company R(000s) 3.6 REQUIRED 3.7 3.8 320 290 250 3.9 110 Units (000s) 56 75 (a) (b) Provide the correct graph labels represented by '(a)' and '(b)'. What is the value of the fixed costs of GHI Company? What is GHI Company's break-even revenue and units? How much profit would be made if GHI were to sell 75 000 units? 3.10 Explain your understanding of fixed costs and variable costs. In your answer you are required to provide a brief definition, an example of each and make use of a rough graph to illustrate your understanding of each.Price/cost MC $52 АТС $40 $30 $28 $20 D $14 MR 100 130 140 160 Its total revenue will be $ Its total cost will be $ It will make a profit/loss/break even (circle one) of $Cost Analysis A company manufactures fuel tanks for cars. The total weekly cost (in dollars) of producing X fuel tanks is given by.. C(x) = 10000 +90x - 0.05x² %3D Find the exact cost of producing the 501st item. (Round to the nearest 2 decimal places, if needed) HINT: Steps to fiınd actual or exact (cost/revenue/profit) 1. Find the cost of x = 5003B 2. Then find the cost of x = 501%3; 3. Then subtract ASUS 3 近