Which would be an implicit cost for a firm? The cost of: A. Property insurance B. Property tax C. Raw materials D. Wages foregone by the owner of the firm
Q: Is there any other measure of economic growth instead of GDP. If any kindly explain.
A: Economic growth is the gradual rise in a country's output and utilization of products and services…
Q: Decker Scientific is considering an investment of $980,000 in a new product line. The company will…
A: Present value is the value of investment in today's dollar. Future value is the value of…
Q: Durable Goods Business fixed investment Federal purchase of goods Exports State and local purchase…
A: Introduction Consumption expenditure and investment expenditure are two different types of spending…
Q: In the first quarter of 2020, US real GDP declined about 9%, due to the economics shocks from the…
A: Gross Domestic Product(GDP) is the total value of goods and services produced within the borders of…
Q: Match each type of good with its associated market efficiency outcome. Public goods Common resources…
A: Market efficiency is achieved where social demand is equal to social supply.
Q: QUESTION 7 Review the following figure. Suppose the price of gasoline is $1.60 per gallon. . What…
A: Market equilibrium: At the market equilibrium we have demand equals to supply. Or at market…
Q: QUESTION 4 What is the effect of a binding price ceiling on the quantity demanded of a product?…
A: Since you have posted multiple questions, we will provide the solution only to the first question as…
Q: Consider an open economy with a current population of 0.55 million people, and where the potential…
A: 8) Macroeconomics is the branch of economics that studies how an economy functions from a…
Q: Oscar consumes only two goods, X and Y. Assume that Oscar is not at a corner solution, but he is…
A: If a consumer consumes two goods and there is no corner solution, then utility is maximized when…
Q: . If there is a technological advance that leads to an increase in investment demand, then:
A: With technological advancement the demand for investment grew, this would mean that consumer would…
Q: 1/ Each summer season, Rhoda's Restaurant raises its menu prices and sees rising revenues. In…
A: Demand elasticity is a measure of how responsive the quantity demanded of a particular good or…
Q: Find MRSBP . Do Elmira’s preferences have a diminishing Marginal Rate of Substitution? (e) What…
A: Given Elmira monthly income I = $200 Price of beef Pb=$6 per pound Price of potatoes Pp=$1 per…
Q: You are the owner of a local Honda dealership. Unlike other dealerships in the area, you take pride…
A: Marginal Cost is the change in total production that comes from making or producing one additional…
Q: Consider the market for middle and aisle seats on airline flights. Aisle seats are more popular than…
A: When a product demand increases its demand curve shifts rightward shift and when a product demand…
Q: Suppose Nation B has 8,623 labor hours each year to produce burgers and fries. Burgers take 13 hours…
A: To calculate the maximum number of a good that can be produced given the resources, the amount of…
Q: please do d and e now please
A: Pareto optimal allocation refers to that point deviating from which no player can be made better off…
Q: questions have to do with explanation and prediction, questions have to do with what ought to be.…
A: An economic policy involves any activity which aims at managing the economy. The government…
Q: Five years ago, a company experienced some extremely unusual events, including a major strike and a…
A: Given - Five years ago, a company experienced some extremely unusual events, including a major…
Q: Suppose Damaris is a sports fan and buys only football tickets. Damaris deposits $3,000 into a…
A: The nominal interest rate is the summation of the real interest rate and the rate of inflation. If…
Q: Quan $10 FIGURE 4-1 Isoquants fo With constant returns to s will be the straight line thr line ab…
A: The complement inputs are used in the fixed proportion. These inputs are used jointly.
Q: Central Bank plays an important role in an economy. However there are some drawback of having a…
A: A central bank refers to a financial institution that is responsible for managing the monetary…
Q: differentiation/partial differentiation/unconstrained A firm faces demand curves: The Total Cost…
A: Third degree price discrimination occurs when a monopoly charges a different price to different…
Q: QUESTION 10 A low-income country decides to set a price ceiling on bread so they can make sure that…
A: At equilibrium, demand curve intersects the supply curve. At this point there is no shortage or no…
Q: What are the important shortcomings of the real business cycle model? (Sell DA. The model may not be…
A: The real business cycle (RBC) model is a type of economic theory that looks on productivity,…
Q: Hey! Need help with the following Macroeconomics question, it contains four small sub-questions.…
A: The study of how economies function, such as changes in economic production, inflation, interest and…
Q: Eleanor makes year-end deposits of P5000 the first year, P5500 the second year, P6050 the third…
A: From the given information, Eleanor's cash flow is represents geometric gradient series in which…
Q: What is the value for net exports if consumer spending is $21,049, gross private domestic investment…
A: Net exports refer to the value of a country's total exports of goods and services minus its total…
Q: Explain what market inefficiencies derive from monopolies and monopolistic competition. Use examples…
A: Disclaimer Since you have asked multiple questions, we will solve the first one for you. If you want…
Q: If a country's initial real GDP is $54,504 and its yearly growth rate of GDP is 3.9%, use the Rule…
A: Gross Domestic Product refers to the value of all the new goods and services produced in a territory…
Q: D Question 9 What is the quantity that clears the market? 0 1. 2. 04. 3. Question 10 Which sellers…
A: Market-clearing price and quantity: The demand function determines the willingness to pay of an…
Q: When demand increases, what happens to price and quantity in equilibrium? O Price increases and…
A: An increase in demand means the demand curve shifts upward. (quantity demanded increases at each…
Q: At a price of $10 quantity demanded is 30 units while at a price of $12, quantity demanded is 24…
A: Price elasticity of demand is the responsiveness of quantity demanded due to change in price.
Q: Total labor income equals the real wage times the amount of labor hired: W x L = WI. Labor's share…
A: Total labor income equals the real wage the amount of labor hired.
Q: An economy is initially in equilibrium. Suppose that the government decides to increase spending.…
A: The aggregate demand/supply model demonstrates how total supply and total demand interact at the…
Q: Quantity of good A Price of good A Quantity of good B Price of good B a. In 2010, nominal GDP-S Year…
A: GDP is the gross domestic product. Real GDP does not include the effect of inflation. Real GDP is…
Q: If the percentage change in quantity supplied is 10%, and the percentage change in price is 10%,…
A: An elastic demand is one in which the change in qty. demanded because a price change is large.…
Q: Assume that the MBA education industry is constant-cost and is in long-run equilibrium. Discuss what…
A: Equilibrium in economics refers to a situation in which the amount of products or services produced…
Q: A consumer is currently purchasing three pairs of jeans and five T-shirts per year. The price of…
A: Every human has needs that must be met in order to improve their welfare as a whole. Utility is the…
Q: Many changes are affecting the market for oil. Predict how each of the following events will affect…
A: DISCLAIMER “Since you have asked multiple question, we will solve the first three question for you.…
Q: Suppose that the price elasticity of demand for peanut butter is 1.5 in the short-run and 2 in the…
A: Elasticity is calculated as percentage change in quantity divided by percentage change in price.…
Q: Suppose you are a discus hurler and your goal is to maximize the distance you achieve. You “produce”…
A: In economics, total benefit refers to the sum of all the benefits received from a particular…
Q: What are the various issues related to the measurements of economic growth and development?
A: Disclaimer Since you have asked multiple questions, we will solve the first one for you. If you want…
Q: Calculate the consumers surplus, producer surplus. and total surplus when no price restrictions are…
A: Consumer surplus is defined as the consumer gain that arises when the maximum price that the…
Q: The point price elasticity of demand for red herring is −4. The demand curve for red herring is: Q =…
A: Elasticity is the measure of change in quantity due to change in price. The demand is said to be…
Q: When an economy's output increases and the price level decreases, the ___ curve has shifted to the…
A: In an economy, equilibrium is achieved at a point where aggregate demand is equal to aggregate…
Q: Explain why the imposition of the price ceiling does not result in a deadweight loss.
A: A price ceiling is the highest price that can be charged by the government for an item or service.…
Q: 17. Evaluate the truthfulness of the following statements: I. The Engel curve for a normal good is…
A: The Engel curve is a graphical representation that shows the relationship between the quantity of a…
Q: B. Give three examples of each classification. 6. Complementary product a. Coffee and sugar…
A: Complementary products are goods that are either consumed simultaneously or sequentially. In other…
Q: A. The relaxation of immigration law that caus an influx of immigrants into the U.S. B.The age at…
A:
Q: Suppose that an insurance company has 100 people in the insurance pool. Suppose further that the…
A: Health insurance is a kind of insurance that covers medical expenses that arise because of an…
18. Which would be an implicit cost for a firm? The cost of:
A. Property insurance
B. Property tax
C. Raw materials
D. Wages foregone by the owner of the firm
Implicit costs:
The implicit cost refers to the opportunity cost of producing a particular commodity over another one. Implicit cost also involves the cost of spending time and effort on the production of a good and forgoing another. This is a concept of economic cost and not included the accounting cost of production.
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
- Which costs are measured on per-unit basis: fixed costs, average cost, avenge variable cost, variable costs, and marginal cost?Are fixed costs also sunk costs? Explain.What is the relationship between marginal product and marginal cost? (Hint: Look at the curves.) Why do you suppose that is? Is this relationship the same in the long run as in the short run?
- Which of the following is an implicit cost to a firm that produces a good or service? A. Labor costsB. Costs of operating production machineryC. Foregone profits of producing a different good or serviceD. Costs of renting or buying land for a production site7. Fixed costs faced by farmers typically include the following, except: A. FertilizerB. Property insuranceC. Property taxesD. Interest and rent payments0 Labo capit total Labors ur al product $20 FC 5 15 1 10 1 1 1 20 1 Question 6 Mr-Ali Alawi recently set a shoe manufacturing outlet. He is planning for production demand, labor requirement, fixed cost, variable cost, the revenue. He come up with the following schedule. Help him to fill up the schedule. Initially he plans to use one machine. Total fixed cost per month is expected to be $1000. The unit cost of labor is estimated to be $20. 0 25 75 100 VC=# of 150 0 100 200 300 1000 total Cost(FC+VATotal cost/ C) 100 1000 120 1000 140 1000 160 Marginal cost(MC) 400 1000 180 ATotal Product Total Revenue Profit
- Why does the marginal cost of production typically increase as the amount of output produced increases? a.A fixed factor of production causes diminishing marginal product b.Increasing returns to scale c.There are no fixed factors of production d.Decreasing returns to scaleb. Manton Bakery is a company that bakes bread. Here is the relationship between the number of workers at the bakery and Manton's output in a given day: Workers 0 1 2 3 4 5 6 7 Output loaves 0 20 50 90 120 140 150 155 Marginal Total Average Product Cost Total Cost Marginal Cost (i) Fill in the column of marginal product. What pattern do you see? How might you explain it? (ii) A skilled baker costs £100 a day, and the firm has fixed costs of £200. Use this information to fill in the column for total cost. Fill in the columns for average total cost and marginal cost. What patterns do you see? (iii) Compare the column for average total cost and the column for marginal cost. Explain the relationship.Charlie Co. sells pastries and its production and cost table is given below. A workercosts $100 a day, the firm has fixed costs of $200.L Q MP MC TC ATC0 01 202 503 904 1205 1406 1507 155a. Complete the table above b. Compare the average total cost and the marginal cost and explain therelationship c. Describe the methods that can be used to determine where profit is maximized?
- QUESTION 26 A firm's average total cost is £80, its total fixed cost is £1000 and its output is 100 units. Its average variable cost is a. higher than £60 O b.£90 O c. between £40 and £60 O d. less than £40A firm had sales revenue of $1 million lastyear .Its pent $600,000 on labor,$150,000 on capitaland $200,000on materials. What was the firm’s accounting profit? the firm’s factory sits on land owned by the firm that it could rent for $30,000 per year. What was the firm’s economic profit last year?What is the overhead cost for a company? The profit desired Labor costs The cost of doing business Both a and b
