ane's Juice Bar has the following cost schedules: In the following table, complete the marginal cost, average variable cost, and average total cost columns.   Quantity Variable Cost Total Cost Marginal Cost Average Variable Cost Average Total Cost (Vats of juice) (Dollars) (Dollars) (Dollars) (Dollars) (Dollars) 0 0 30         1 8 38       2 18 48       3 30 60       4 50 80       5 80 110       6 120 150         On the following graph, use the orange points (square symbol) to plot the marginal-cost curve for Jane's Juice Bar. (Note: Be sure to plot from left to right and to plot between integers. For example, if the marginal cost of increasing production from 1 vat of juice to 2 vats of juice is $5, then you would plot a point at (1.5, 5).) Then use the purple points (diamond symbol) to plot the average-variable cost curve starting at 1 vat of juice, and use the green points (triangle symbol) to plot the average-total-cost curve also starting at 1 vat of juice.   Marginal CostAverage Variable CostAverage Total Cost01234564035302520151050CostsQuantity (Vats of juice)       Which of the following statements are true according to the previous graph? Check all that apply. The marginal-cost curve is below the average-total-cost curve when output is greater than four and average total cost is rising.The marginal-cost curve lies below the average-variable-cost curve.       The marginal-cost curve is above the average-total-cost curve when output is greater than four and average total cost is rising.

Which of the following graphs shows average fixed cost?

You have the following information about long-run total cost for the following firms: Quantity Arnold’s Apples LRATC Belle’s Bananas LRATC Cam’s Cantaloupes LRATC 1 120 33 42 2 140 72 68 3 160 117 98 4 180 168 132 5 200 225 170 6 220 288 212 7 240 357 258 Do any of these firms experience economies of scale? How do you know?

Use the cost table below to find the following marginal costs. Output quantity Total variable Total fixed Total cost cost cost 20 80 60 140 40 140 60 200 60 210 60 270 80 300 60 360 100 420 60 480 120 600 60 660 140 840 60 900 What is the marginal cost when output is 20? $ What is the marginal cost when output is 80? $ What is the marginal cost when output is 120? $ |

Fill in the space (d) in the table below associated with the firm William Perry, Inc., that delivers refrigerators in the Chicago area, using the two inputs of labor and trucks. Number of Amount of Trucks Labor 2 2 2 2 2 2 2 0 1 2 3456 Total Output 0 75 (c) 380 (f) Average Product of Labor (a) (b) 100 (d) (e) 75 Marginal Product of Labor 100 50 (g) 0

Pick the proper graph illustrating the cost curves for a typical firm. 01 02 1 cost 2 cost None of the Above Mont Sai MC ATC AFC -AVC quantity MC ATC AFC -AVC quantity 3 cost 4 cost MC ATC MC AVC AFC quantity ATC AVC AFC quantity

5.3 A column on barrons.com discussing General Motors (GM) made the following observation: "Even the seemingly variable' costs of hourly workers were made burdensome by union agreements whereby 95% of hourly workers' salaries were paid when they were laid off, turning variable labor compensation into a fixed cost." a. Aren't workers' salaries always a variable cost and not a fixed cost? Briefly explain the author's reasoning. b. Suppose that GM reduces its production of cars. Compare what happens to GM's average total cost production in a situation where (i) the company doesn't have this union agreement, and (ii) the company does have this agreement. Use a graph to illustrate your answer.

Where is the marginal cost curve on the graph?

Complete the table by filling in the average fixed cost, average variable cost, and average total cost.   Instructions: Round your answers to 2 decimal places.   Vintage Model Car Production Costs Output Total Fixed Cost (dollars) Total Variable Cost (dollars) Total Cost (dollars) Average Fixed Cost (dollars) Average Variable Cost (dollars) Average Total Cost (dollars) 0 $2,000 $0 $2,000 — — — 100 2,000 800 2,800       200 2,000 1,300 3,300       500 2,000 4,350 6,350