If Cf = 25000 is a fixed cost function, show that the average fixed cost function Cf = Cf / q is decreasing for q>0 ; therefore, when production q grows by one unit, the unit portion of the fixed cost is reduced.

Q: Q2) Complete the table and show your calculation No. of Total product Marginal product of Average…

A: Total product (TP) means the whole quantity (qty.) of output produces by a company. Marginal product…

Q: 1. Suppose the production function for trucks is given by: q = kl + 6l² - 13 where q represents the…

A: Given production function: TP=q=kl+6l2-13l3       ............ (1) We will use the application of…

Q: Question 12 What will be the effect of a technology that cuts the production process by 25% on its…

A: (12). In this question, technology reduces the production process by 25% on its output, assuming all…

Q: 3. Consider the following production function: q = 2L +3/K Assume K = 16, derive the marginal…

A: production-function gives us the maximum output that can be achieved with various…

Q: Which of the following is true?

A: The long-run average cost curve represents the least average cost to produce any given level of…

Q: . Suppose that a firm’s production function is f(L, K) = L + K. Does this production function…

A: Returns to scale is the measurement of the proportion by which the output changes when the inputs…

Q: 12. If a firm doubles all inputs and this causes output to more than double, we can say that: A.…

A: If a firm more than doubles its output by double all of its inputs, the firm is in increasing…

Q: Which of the following describes the difference between economies of scale and economies of scope?…

A: economies-of-scope refer to the cost advantage in production of more than one type of products…

Q: 1. Suppose the production function for trucks is given by: q = kl + 61² – ÷13 where q represents the…

A: The production function refers to the functional relationship between the quantity well produced…

Q: 9. Working with Numbers and Graphs Q9 If total variable cost is $120 and average variable cost is…

A: * SOLUTION :-  * 1)   Given Total variable cost= $120 Average variable cost=$10 The quantity of…

Q: 2. Let the production function be as follow: q(L,K) = 10.7 K0.3 Also assume w=2 and r=4 a. Find out…

A: Production costs allude to the costs an organization causes from assembling an item or offering a…

Q: Why will firms in most markets be located at or close to the bottom of the longrun average cost…

A: Note: In the BNED Guidance, only the first question can be answered at a time. Resend the question…

Q: 1.A 15 per cent increase in all inputs leads to only a 5 per cent increase in the output. Are the…

A: answer 1. 15 % increase in all inputs leads to only 5% increase in output means the returns to scale…

Q: firm X has a total cost of 100 and a total variable cost of 80, what is its total fixed cost?     a)…

A: Fixed cost is independent of output produced.

Q: Define the cost function c(w1,w2 ,y) =w1x1(w1,w2,y) + w2x2(w1,w2,y). Show that the cost function is…

A: A cost function is obtained using cost minimization techniques using the production function(y) and…

Q: Assume a Cobb-Douglas production function of the form: q = 10L0 58 K0.79 What type of returns to…

A: Increasing returns to scales  are present when increasing all factors of production by t leads to…

Q: Suppose a firm produces cars and the minimum efficient scale is 2,000,000 cars. The inputs are labor…

A:

Q: 3) Suppose that a firm's fixed proportion production function is given by q=min (5K, 10L), and that…

A: Given, q = min(5K, 10L) v = 1 w =3 a) At origin, production function q = 10L = 5K L* = q/10 K* = q/5…

Q: 1.Assume that a firm experiences constant returns to scale over twenty-five percent of its output…

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

Q: While the technology level and the amount of other inputs are constant, as the amount of bit input…

A: Factors are classified into two types: variable inputs and the fixed inputs. Variable inputs vary…

Q: Define constant, decreasing and increasing returns to scale.

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

Q: 6. Consider a firm with the following total cost function: TC = 125 +4Q+15Q² (a) What is the measure…

A: Answer - A Answer - Need to find- The measure of firm's economy of scale  Given in the question- TC…

Q: 3. Suppose the firm's production function is given by F(K,L) = min (Kt,Lt) (a) Derive the long-run…

A: The fixed proportion production function, f(K,L) =Q= minK13,L13 In this production function, the…

Q: ADVANCED ANALYSIS A firm faces the following costs: total cost of capital = $1,000; price paid for…

A: The firms in the industry are liable to estimate their costs and the benefits for production…

Q: please help

A: Production technologies or production function defines a relationship between the output and inputs.…

Q: What is average fixed cost? O the price of a fixed factor of production the total cost divided by…

A: please find the answer below.

Q: For the cost function c = √q, show that marginal and average costs are always decreasing.

A: The firm produces goods and services which would result in the firm to incur cost. The production of…

Q: 1. Assume that Ms. Desdimona, the owner, and manager of the Fine Duplicating Service located near…

A: The total product is the total quantity of output produced by using all the inputs and resources.…

Q: 1) Use the graph to answer the question. Between points C and D, the long-run average total cost…

A: As per the guidelines answer is given to the first question. (1) "Long run average total cost curve…

Q: 6. A general version of the Cobb-Douglas production function can be written as f(#1,..,In) = '.…

A: The Technical Rate of Substitution (TRS) is the rate at which one input must decrease so that the…

Q: 7. Consider the production function Y = zx F(K,N,L) where Y is output, z is technology, K is…

A: The production function establishes a border or frontier that denotes the greatest quantity of…

Q: ADVANCED ANALYSIS A firm faces the following costs: total cost of capital = $1,000; price paid for…

A: We’ll answer the first question only that you have specified. Please submit a new question…

Q: Which of the following statements are true regarding the concept of returns to scale? [Check all…

A: Let production function  Q = F(L, K) Double the inputs by a scalar z > 0. Q = F(zL, zK) If F(zl,…

Q: When there are fixed costs and a constant marginal cost O a. The average variable cost function is…

A: The cost function shows the relationship between cost and output.

Q: 4. The shape of a firm's long-run average cost curve depends o how costs vary with scale of…

A: Return to Scale: The return to scale refers to the behavior of output when all the inputs or factors…

Q: 3.3 Consider the following production function: F(K,L) = K L Find out what relation should exist…

A: Given Production function  FK,L=KaLb         ... (1)

Q: (3) (2) (1) Output 10. In the above diagram curves 1, 2, and 3 represent: A. average variable cost,…

A: Cost of production is the expenditure incurred in the process of conversion of inputs into output.

Q: 2.)Do fixed costs refer to the long run or short run? Why?

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

Q: Which one of the following statement is true about slope of fixed cost: Select one: O a. Slope of…

A: Slope implies that a change of unit in x being the independent variable would in turn result in a…

Q: Suppose the production function is Q = 8L + 15K where Q is the quantity of output, L is the quantity…

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