A manufacturing firm can sell x number of units of each product produced per month at a price of (24 – 0.03x) pesos. It costs P15 to make each unit of product. The fixed cost associated with producing and selling the product monthly is P 100,000. Determine: a. The TR, TC and Profit function. b. Production level to break-even c. Production level to maximize profit d Maximum pro fit at this level

A manufacturing firm can sell x number of units of each product produced per month at a price of (24 – 0.03x) pesos. It costs P15 to make each unit of product. The fixed cost associated with producing and selling the product monthly is P 100,000. Determine: a. The TR, TC and Profit function. b. Production level to break-even c. Production level to maximize profit d Maximum pro fit at this level

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

There is economies of scale if the average cost of production is lower for bigger scale of operations compared to the average cost of production for smaller scale of operations True False
TC = 200 + 60Q + 2Q² What is the average variable cost when 4 units are produced? Enter as a value. 248
Output TFC TVC TC MC АТС A 25 25 ---- -- ---- -- B 1 25 25 50 25 50 C 2 25 40 65 32.5 3 25 70 95 E 4 25 110 33.75 F 5 25 160 50 What is the total cost at point E? 135 125 185 Cannot be determined
Total Variable cost is 560,000 OMR total units sold is 7000 units, total fixed cost is 160000 OMR,describe the production costs in the equation form Y = f + vX. Select one: a. Y = 160000 + 70X O b. Y = 160000 + 80X O c. Y = 160000 + 100X O d. Y = 160000 + 40X
TC = 210 + 40Q + 2Q² What is the average fixed cost when 5 units are produced? Enter as a value. 42
. Given the following fixed and variable costs and the volumes, calculate the total andunit costs.
Question 37 In this table, the average cost of producing 100 units of output is: R Output Total Cost Variable Cost 0 $5,000 $0 100 $5,700 $700 200 $6,300 $1,300 300 $7,100 $2,100 400 $8,000 $3,000 Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a $57.00 Search b $31.50 C $20 d $23.67 Question 38 4- 4+ * hp 144 C f10 114 144 f12 + + 11 7/ ins prt sc delete home num
None
Consider the following total cost function: where represents output and are constants. What can we conclude? (a) The firm experiences rising average fixed costs, but falling average variable costs. (b) The firm experiences falling average fixed costs, but rising average variable costs. (c) The firm experiences falling average fixed costs and falling average variable costs. (d) The firm experiences rising average fixed costs and rising average variable costs
Don't use excel
Q 1
Q50