8) Economic costs include costs, while accounting costs include Only implicit; both explicit and implicit O Both explicit and implicit; only implicit O Both explicit and implicit; only explicit Only explicit; both explicit and implicit costs.

8) Economic costs include costs, while accounting costs include Only implicit; both explicit and implicit O Both explicit and implicit; only implicit O Both explicit and implicit; only explicit Only explicit; both explicit and implicit costs.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: QUESTION 22 Refer to the table below: Quantity of Output Fixed Variable Total Cost Cost Cost 1 $23…

A: Answer to the question is as follows :

Q: 1 3. For the technologies y=min{*,4.x, } and y=+x, compute: 4 a) the total cost and the cost of…

A: Marginal cost (MC) is the addition to the total cost by producing one more unit of output. Average…

Q: The picture below shows 4 short-run average total cost curves (SRATC), one for each level of…

A: In the short run, firms are constrained by certain factors, such as the level of capital, which they…

Q: Let F be the fixed cost of production, let VC be the variable cost of production, C be the total…

A: Cost curves are crucial tools for understanding and analyzing the cost framework for a firm's output…

Q: Explain the term Explicit and Implicit costs. Give examples

A: Implicit costs are costs that arise which are not registered for accounting purposes without…

Q: -*s) A Company uses normal costing. It allocates manufacturing overhead costs using a budgeted rate…

A: Here we calculate the following overhead rates by using the given information so the calculation of…

Q: Table 7-1 Quantity Variable Cost Total Cost 1 25 40 45 60 3 60 75 4 70 85 5 85 100 6 105 120 132 147…

A: Variable cost: It is the cost that is incurred by a firm on the variable factors of production, the…

Q: If the ATC of 20th unit is $35, then A. the AVC is rising between the 20th and 30th units B. the MC…

A: Total cost is defined as the total expenditure incurred in production of goods and service.

Q: dTC = 25 + 30Q – 9Q² dQ MC = and fixed cost, FC = 55 , find the (i)total 6. Given marginal cost,…

A: According to the question MC = 25 + 30Q – 9Q^2 and FC = 55

Q: 3. Characterizing Cost Functions Analytically. Consider the Cost function 100 +10Q+Q² a. What are…

A: Total cost is a sum of fixed cost and variable cost. Fixed cost is constant and variable cost…

Q: As output increases, total cost total fixed cost and total variable cost O. increases; does not…

A: The total cost incurred by a firm includes fixed cost and variable cost. Fixed costs do not change…

Q: 3. Which of the following types of cost is directly dependent on a firm's output rate? a. fixed cost…

A: Total cost is the sum of fixed cost and variable cost. Fixed cost are the cost that are fixed and…

Q: 1. Minimize short (K fixed atK ) and long run cost of the following production technologies: a. q =…

A: A production function is a indispensable thought in economics that describes the relationship…

Q: Tools ips 1. Definition of economic costs Carlos lives in Dallas and operates a small company…

A: Explicit cost is the actual monetary expenditure to run the business. Implicit cost is the…

Q: The marginal costs (MC), average variable costs (AVC), and average total costs (ATC) for a…

A: Average total cost refers to the approximate total cost of production at different levels of…

Q: Farmers Al and Bob each operate a farm in the same watershed. Each farm uses water and fertilizer to…

A: Option a is correct. Curves are upward sloping with slope 3 and 5 for AI and bob, respectively…

Q: 16. Increasing returns to scale are NOT found where! a. Overhead or fixed costs are dominant. b.…

A: Returns to scale refer to the quantum of change in the output when all the inputs of production are…

Q: Question 1: Costs and Production Suppose that Maria is starting a food ordering and delivery…

A: Fixed costs are that cost which remains same and incur even when there is no production.Variable…

Q: Question 12 Table: Variable Costs for Lawns Quantity of lawns Variable costs $0 10 100 20 300 30 500…

A: Total cost of 20th unit =$35*20=$700 Fixed cost of 20th unit =Total cost - variable cost…

Q: Calculate VC, AC, MC, AVC, AFC, and graphically shows the calculated and given costs. Quantity Fixed…

A: Costs refer to the amount the is incurred for using the factors of production to produce goods and…

Q: 5. Provide the formula/calculation for the following costs: Average Total Cost, Average Fixed Cost,…

A: Costs, in general, explains the producer’s expenditure in producing a commodity it includes various…

Q: Confetti Bakery sells bread, cake, and other baked goods. After analyzing their production and…

A: For production of goods and services, firms hire factors of production from the household sector in…

Q: (b) Complete the following table. Using the following cost data how would you estimate the short run…

A: The perfect competition is a market form which shows a large number of buyers and sellers of a…

Q: An economist estimated the learning curve for the production of Tesla vehicles to be: AC 433,094…

A: The learning rate, in the context of the learning curve theory in economics and production,…

Q: Figure 4.2 O there is waste. O it is very difficult and very expensive to increase output once the…

A: TC represents "Total Cost." A financial statistic called total cost is used in business and…

Q: help please answer in text form with proper workings and explanation for each and every part and…

A: Introduction to Constant Returns to Scale:Constant returns to scale are observed when a proportional…

Q: Write here the MC function __________________________ 5. Find the value which AFC approaches as Q…

A: Total cost is the sum of total fixed cost and total variable cost.Total fixed cost is constant and…

Q: Units of Output 0 1 2 3 4 5 SO $45 $60 Variable Cost (dollars) $75 45 75 90 120 158 225 Total Cost…

A: Total cost is equal to the total cost of producing the output. Total cost includes total fixed cost…

Q: 4. Why it is important to note that the economic measurement of production costs does not…

A: The markets are where the produced goods by the sellers of the market are sold, and the buyers…

Q: Answer the following Questions. Include referencing where additional sources have been used a. Why…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Which of the following does NOT represent a fırm's explicit costs? O the firm's total accounting…

A: Explicit cost is the actual monetary expenditure to run a business Implicit cost is the opportunity…

Q: rage fixed costs would rise, but marginal costs would fall. rage fixed costs and average total costs…

A: The average fixed cost (AFC) is the fixed cost that constant with the change in the number of goods…

Q: If you add average variable costs and average fixed costs, you get average total costs. True False

A: Cost is the amount of expenditure incurred on goods or services. It is incurred for the hiring of…

Q: Explicit costs are and implicit costs are O Paid in money; incurred when a firm gives up an…

A: A paid in money and secondly it is incurred in giving up the alternate action. Explicit costs are…

Q: If the ATC of the 20th unit is $35, then: A) the MC is increasing between 10 and 20 units; B) the…

A: Total cost at 20th unit is 35 Thus, total cost = 20×35 = 700 Now,Total cost = variable cost + fixed…

Q: 4

A: As per honor code, we’ll answer only one question at a time , we have answered the first question…

Q: If you know that average variable cost is at a minimum, then you can deduce that marginal cost is…

A: Average Variable Cost is calculated by dividing total variable cost with the output. Variable Cost…

Q: Nina is a farmer that grows and sells tomatoes. Her total explicit and implicit costs are 950000 per…

A: The sum of all costs, both fixed and variable, is known as the Total cost. The cost per unit…

Q: 6. Alex Miller, Inc., sells car batteries to service stations for an average of $30 each. The…

A: Since you have posted a question with multiple sub parts, we will solve first three subparts for…

Q: 14) Implicit costs can be defined as A) accounting profit minus explicit cost. B) the non-monetary…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: Suppose that a business incurred implicit costs of $200,000 and explicit cost of$1million in a…

A: The question has been solved below.

Question

8) Economic costs include
costs, while accounting costs include
O Only implicit; both explicit and implicit
O Both explicit and implicit; only implicit
Both explicit and implicit; only explicit
Only explicit; both explicit and implicit
ο οοιο
costs.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Only typed answer
Suppose that the firm Smith Co sells 400 blouses per month for $80 per blouse. Roberto, the owner of the business and does not take salary from her business yet. Roberto is a textile engineer by trade and could be earning $ 4800 per month working for a similar firm. The monthly costs of production are as follow: materials: $ 8000 labor: $12800 other: $1600 What is are Smith Co's total explicit costs? $ What is are Smith Co's total implicit costs? $ What is Smith Co's accounting profit? $ What is Smith Co's economic profit? $ ID - -> -
If marginal cost is less than the average variable cost and output increases, average total cost _______ and average variable cost ________. OPTIONS: (i) decreases, increases (ii) increases, decreases (iii) increases, increases (iv) decreases, decreases
12. Which of the following statements about direct and indirect costs is/are likely to be true? Note: multiple answers possible. Group of answer choices Whether a fixed cost is classified as direct or indirect cost depends on whether the level of production is within or outside the relevant range. Reliability of cost data is usually enhanced with more, rather than less, direct cost categories With the right allocation base, the assignment of indirect costs to a cost object will typically be more accurate than the assignment of direct costs to the same cost object While each indirect cost item would have one or more cost drivers, direct cost items do not typically have a cost driver.
Follow the instructions. Typewritten for an upvote. No upvote for handwritten. PLEASE SKIP IF YOU HAVE ALREADY DONE THIS. Thank you
H13). Importance of Understanding Cost Behavior Patterns Recognizing and understanding cost behavior patterns serve multiple purposes within a company. What are at least 4 of them and explain.
A firm earns normal profit Selected Answer: c. when explicit costs equal implicit costs. Answers: a. when accounting profit equals explicit costs. b. when economic profit equals implicit costs. c. when explicit costs equal implicit costs. d. when economic profit equals explicit costs. e. when accounting profit is less than implicit costs.
2. Consider the following costs of owning and operating a car. A $25,000 Ford Taurus financed over 60 months at 7 percent interest has a monthly payment of $495.03. Insurance costs $100 per month no matter how much you drive. The car gets 20 miles per gallon and uses unleaded regular gasoline that costs $3.50 per gallon. Finally, suppose that wear and tear on the car costs about 15 cents per mile. a. Which costs are fixed b. Which costs are variable? c. In deciding whether or not to drive from New York to Pittsburgh (about 1,000 miles round-trip) to visit a friend, which costs should count?
Help answer point A. Building Construction
.Accounting costs and explicit costs are the same. a. True O b. False
9.
8. Stage II of Law of Variable Proportions is called: (a) Diminishing returns (b) Decreasing returns (c) Falling returns (d) Negative returns