om for the four Juanita's Performance Pizza is a small restaurant in Dallas that sells gluten-free pizzas. Juanita's very tiny kitchen has barely enoug ovens in which her workers bake the pizzas. Juanita signed a lease obligating her to pay the rent for the four ovens for the next year. Because of this, and because Juanita's kitchen cannot fit more than four ovens, Juanita cannot change the number of ovens she uses in her production of pizzas in the short run. However, Juanita's decision regarding how many workers to use can vary from week to week because her workers tend to be students. Each Monday, Juanita lets them know how many workers she needs for each day of the week. In the short run, these workers are variable inputs, and the ovens are fixed inputs. Juanita's daily production schedule is presented in the following table. Fill in the blanks to complete the Marginal Product of Labor column for each worker. Output Marginal Product of Labor (Pizzas) (Pizzas) Labor (Number of workers) 78°F Sunny 0 1 2 3 4 5 0 50 90 120 140 150 AAAAA H a J a -- - 8

Economics Today and Tomorrow, Student Edition
1st Edition
ISBN:9780078747663
Author:McGraw-Hill
Publisher:McGraw-Hill
Chapter5: Buying The Necessities
Section: Chapter Questions
Problem 17AA
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Question
J
Suppose that labor is Juanita's only variable cost and that she has a fixed cost of $30 per day and pays each of her workers $30 per day.
Esc
Use the orange points (square symbol) to plot Juanita's total cost curve on the following graph using the quantities from the preceding table.
200
TOTAL COST (Dollars)
180
78°F
Sunny
160
140
120
100
F1
80
60
40
20
0
O
0 20 40 60 80 100 120 140 160
QUANTITY OF OUTPUT (Pizzas)
F2
-0- Ö-
@
F3
0+
44
F4
180
200
F5
11
--O
Total Cost
H OL
‒‒
06
F6
F7
I
C
F8
O
4+
F9
F10
FO
F11
F12
Fn
Lock
Transcribed Image Text:J Suppose that labor is Juanita's only variable cost and that she has a fixed cost of $30 per day and pays each of her workers $30 per day. Esc Use the orange points (square symbol) to plot Juanita's total cost curve on the following graph using the quantities from the preceding table. 200 TOTAL COST (Dollars) 180 78°F Sunny 160 140 120 100 F1 80 60 40 20 0 O 0 20 40 60 80 100 120 140 160 QUANTITY OF OUTPUT (Pizzas) F2 -0- Ö- @ F3 0+ 44 F4 180 200 F5 11 --O Total Cost H OL ‒‒ 06 F6 F7 I C F8 O 4+ F9 F10 FO F11 F12 Fn Lock
D
3
om for the four
Juanita's Performance Pizza is a small restaurant in Dallas that sells gluten-free pizzas. Juanita's very tiny kitchen has barely enough
ovens in which her workers bake the pizzas. Juanita signed a lease obligating her to pay the rent for the four ovens for the next year. Because of this,
and because Juanita's kitchen cannot fit more than four ovens, Juanita cannot change the number of ovens she uses in her production of pizzas in the
short run.
However, Juanita's decision regarding how many workers to use can vary from week to week because her workers tend to be students. Each Monday,
Juanita lets them know how many workers she needs for each day of the week. In the short run, these workers are variable inputs, and the
ovens are fixed
inputs.
Esc
Juanita's daily production schedule is presented in the following table.
Fill in the blanks to complete the Marginal Product of Labor column for each worker.
Output Marginal Product of Labor
(Pizzas) (Pizzas)
Labor
(Number of workers)
78°F
Sunny
7
7
F2
@
2
W
0
1
2
3
4
5
F3
0
50
90
120
140
150
Q+
#
3
E
F4
$
4
R
‒‒ OL
%
5
T
6
Y
C+
&
7
U
★
8
F10
9
P
Fo
Lock
6) D
10:22 AM
6/25/2022
N
A
Backspa
Transcribed Image Text:D 3 om for the four Juanita's Performance Pizza is a small restaurant in Dallas that sells gluten-free pizzas. Juanita's very tiny kitchen has barely enough ovens in which her workers bake the pizzas. Juanita signed a lease obligating her to pay the rent for the four ovens for the next year. Because of this, and because Juanita's kitchen cannot fit more than four ovens, Juanita cannot change the number of ovens she uses in her production of pizzas in the short run. However, Juanita's decision regarding how many workers to use can vary from week to week because her workers tend to be students. Each Monday, Juanita lets them know how many workers she needs for each day of the week. In the short run, these workers are variable inputs, and the ovens are fixed inputs. Esc Juanita's daily production schedule is presented in the following table. Fill in the blanks to complete the Marginal Product of Labor column for each worker. Output Marginal Product of Labor (Pizzas) (Pizzas) Labor (Number of workers) 78°F Sunny 7 7 F2 @ 2 W 0 1 2 3 4 5 F3 0 50 90 120 140 150 Q+ # 3 E F4 $ 4 R ‒‒ OL % 5 T 6 Y C+ & 7 U ★ 8 F10 9 P Fo Lock 6) D 10:22 AM 6/25/2022 N A Backspa
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