Explain every point with graph. 1. Economic and business cost . 2. Short run production analysis / law of variable proportion.

Q: A firm's short-run average cost curve is U-shaped. Which of these conclusions can be reached…

A: Total cost is defined as the total expenses that a company or firm has to incur in order to produce…

Q: Refer to Figure 13-4. Curve A represents which type of cost curve? O marginal cost O average total…

A: The curve A is negatively sloped. It is continuously falling and never rises. Curve A is relatively…

Q: A firm has fixed costs of $60 and variable costs as indicated in the table at the bottom of this…

A: The values are found out by: TC=TFC+TVCAC=AFC+AVCAFC=TFCQAVC=TVCQMCN=TCN-TCN-1

Q: Draw the short run total cost curve (show the total cost, fixed cost, variable cost). Where the…

A: Formulas to be used:TC = VC+FCATC = TC/QAVC = TVC/QAFC = TFC/OMC = TCn - TCn-1

Q: Course: Microeconomic - Long and short run costs The company "Mr. Tomas" manufactures tricycles…

A: Tricycle is a function of function of two set of inputs :  Steering wheel , seat & frame : (v)…

Q: true or false The minimum short-run average total cost occurs at a level of output that is greater…

A: The minimum short-run average total cost occurs at a level of output that is greater than that at…

Q: Say that neither labor nor machines are fixed but there is a 50 percent quick-order premium paid for…

A: Explicit costs and revenues are those financial transactions that are directly related to a decision…

Q: Discuss some of the difficulties encountered in applying these economic concepts in practical…

A: The fixed cost is the cost which remains the same even when the firm produces nothing as output.…

Q: Chapter 11 Production and Costs – Units of Total Marginal Product Total Variable АТС AVC MC Labor…

A: The total production process of a firm/company is an amalgamation of various costs, the optimum…

Q: Which of the following represents the key difference between the short run and the long run? O The…

A: Costs are the expenses incurred by a firm in the production of its output. In production, there are…

Q: DEFINE AND EXPLAIN PRODUCTION IN SHORT RUN

A: In the production process, different inputs are used to produce the final output. Each input has its…

Q: UESTION ONE   1.1 Discuss the relationship between the three short-run total cost curves. Use a…

A: "Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Long-run total cost (dollars) Quantity 20 100 40 160 60 180 80 190 The cost data in the above table…

A: Economies of scale are cost advantages that the company enjoys in the form of decrease in average…

Q: Question 24.24.  Variable costs are  sunk costs.        costs that change every day.        costs…

A: Total variable cost (TVC) is the cost of variable inputs, such as raw material and labor. To produce…

Q: QUESTION 4 (Theory of Production and Cost) a. Define and illustrate Total, Marginal and Average…

A: Since you have posted multiple questions, we are answering the first one for you. If you want a…

Q: Refer to Figure 1. Which of the short-run average cost curves correctly depict economies to scale?…

A: Long-run average cost The long-run average cost is tangent to the falling portion of the short-run…

Q: Short run product and cost Scenario 6: a. Use a numerical table and show different worker and output…

A: Short-run cost is the cost which has short term implication in the production process.

Q: Chapter 11 Production and Costs – Units of Total Marginal Product Total Variable ATC AVC MC Labor…

A: The law of diminishing marginal return that when more and more variables factors are added with…

Q: In the long run, the long-run average cost curve whereas in the very long run, the long-run average…

A: There are four production time periods in microeconomics, they are very short run, short run, long…

Q: Which average total cost curve has the lowest average total cost of producing 30,000 bushels of…

A: The total cost incurred by a firm operating in a market includes fixed costs and variable costs.…

Q: Economics Long run average cost is increasing in economies of scale? 1) True 2) False

A: There are two type of scale in business or firm , economies and diseconomies of scale here we can…

Q: Question 2 a) A producer borrows money and starts a business. He himself looks after the business.…

A: An ‘implicit cost’ is a cost that not recorded for accounting purposes. ‘Implicit costs’ represent…

Q: Which statement is nottrue regarding the total variable cost curve? Select one A. It shows the…

A: Hey, Thank you for the question. According to our policy, we can only answer 1 question per session.…

Q: Long-run average c Number of units produced Figure 8.9 Which segment in the diagram represents the…

A:

Q: Shown are the related cost curves: 550 110 (0) 500 100 450 90 400 (A) 80 (D) 350 70 300 60 (F) * 250…

A: Total cost refers to the sum of all cost incurred for producing the particular level of output from…

Q: Fill in the missing parts in the following tables to illustrate the behavior of production and costs…

A: Capital: Capital is a term that refers to financial assets, including specific funds invested in…

Q: Accounting Complete the table and Graph the cost curves:   Output (Q)/day Total Variable costs…

A: Output/day VC TC MC ATC AVC 0 0 635       1 50         2 100         3 150         4 200…

Q: 1)Which of the following is most likely to be a fixed cost for a firm? A) The interest payments made…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Q1. If fixed cost (FC) is $50, variable cost (VC) is $100, and output (quantity) is 3, what is…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Fill in the missing parts in the following tables to illustrate the behavior of production and costs…

A: The total cost incurred by firms includes fixed costs and variable costs. Fixed costs are the costs…

Q: 29. Vanable costs: aDo not exist in the long run. b. Are the only costs that exist in the long run.…

A: Costs incurred on fixed factors that cannot be altered in the short run are called Fixed Costs. They…

Q: Marginal Variable Fixed Product Cost Cost Labor Output $0 $5 100 100 $5 250 $10 3 350 $15 4 50 $20…

A: In a market, total output and total Product are same thing and it can be computed with the help of…

Q: 22. What does the Long Run Average Cost curve depict? a) It depicts the relationship between Average…

A: Long-run average total cost (LRATC) is a business metric that addresses the average cost per unit of…

Q: a) Find the short-run TC, TVC, and TFC curves for this production process. Sketch them on a single…

A: Q = f(K, L) = 3KL When K = 4, Q = 12L L = Q/12 TC = wL + rK = 24 x (Q/12) + (2 x 4) TC = 2Q + 8 TVC…

Q: Which cost inc with the increase in production? (a) Average cost. (b) Marginal cost. (c) Fixed cost.…

A: According to the given question The cost in economics are usually defined as the amount of the…

Q: 21) In the short run where total variable cost is ________ at a(n) ________ rate, marginal cost is…

A: Total variable cost refers to the total cost incurred by the producer in production activity and it…

Q: a) Explain The Law of Diminishing Returns. b) Distinguish between the terms short run and long run…

A: In the production process, different inputs are used to produce the final output. Each input has its…

Q: Show the relationship between short-run marginal and average cost curves, and long-run marginal and…

A: In the short run there are two types of costs:- fixed costs and variable costs. In the short run…

Q: rue or false 1-The marginal cost curve intersects the minimum point of both the average total cost…

A: Marginal cost refers to the additional cost that incurred due to increasing one more unit of output.

Q: The unlabeled red curves in this figure derive their shapes from:   a. decreasing, then increasing,…

A: The long run average cost is an envelope around all the short run average cost curves. So, the long…

Q: Exercise No. 5 Production and Costs Course & Section: Name: IDENTIFICATION Marginal cost output…

A: IDENTIFICATION    Marginal cost   1. The additional cost from an additional unit of output produced.…

Q: Problem -2: The following table gives total output or total product as a function of labor units…

A: Diminishing returns occur when after addition of certain units of input,total product starts to…