Answered: Ex. Of AFC... J.B & Co. has the…

Ex. Of AFC... J.B & Co. has the following fixed costs: - Machinery: 25k - Rent: 15k - Vehicle: 2k - Insurance: 800 - No. of units produced over 1 year: 100k AFC?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

SUBJECT: MICROECONOMICS TOPIC: THE THEORY OF FIRM: PRODUCTION AND COST COMPUTE AND EXPLAIN

Ex. Of AFC...
J.B & Co. has the following fixed costs:
- Machinery: 25k
- Rent: 15k
- Vehicle: 2k
- Insurance: 800
- No. of units produced over 1 year: 100k
AFC
?

ex. AVC...
IAN Enterprises has the ff. variable costs:
- raw materials: 50k
- packaging: 2k
- seasonal workers: 10k
- commissions: Sk
- utilities: 7k
No. of units produced over a year is 24,000
AVC?

Study of decisions made by households and business firms at an individual level. It includes several laws and theorems related to demand, supply, production, allocation of resources, and prices.

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