Please draw and describe the shut-down point and the economic loss when the price is $4. Price 12 10 8 6 4 2 20 40 60 80 MC I ATC 100 Quantity (beach balls per day) AVC
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- Price and cost (dollars per student) $150 120 88 76 72 ATC 40 - MC MR 24,000 30,000 36,000 Quantity of students enroiled 15,000 Your college decides to offer a psychology course as a MOOC that can be taken by students anywhere in the world, whether they are actually enrolled in your college or not. The demand and cost situation for the MOOC is shown in the figure. The faculty member who designed the course argues: "I think the course should be priced so that the maximum number of students enroll." Which price should this faculty member favor? O A. $0 В. $40 C. $88 D. $150Situation: Lettuces and strawberries have almost doubled in price, and the produce rep says this will likely be the case for a few months until the market can recover. What are you likely to see over the next one to two months as far as food cost?Explain the relationship between Marginal Cost and last minute price deal for a holiday package with explaination and details
- PRICE (Dollars per scooter) 195 180 165 150 135 120 105 90 75 60 45 30 15 0 0 + 4 8 12 A B Demand 16 20 24 28 32 QUANTITY (Scooters) 36 40 44 48 52 Total RevenueIn pricing a product cost works as a floor and customer perception of the value of a product works as a guide to price a product explain this ???JYour business has the capacity to produce up to 5 units/week. The table & graph below show average cost (AC) for different weekly production levels. Your objective is to maximize profit each week. Average Cost 22 20 AC 18 1 20 14 2 15 12 3 12 10 1 2 4 4 13 Quantity 15 Your product sells in the market for $21/unit, and you can sell as many units at that price as you can bring to market. You know from your economics training that deciding how much to produce should rely on marginal concepts like marginal cost (MC). So, based on the AC table above, create a table that shows the MC of each unit. (Assume that there are no fixed costs, so total costs are zero if Q=0.) Based on MC for each unit, determine the profit-maximizing quantity to produce and sell. BRIEFLY explain your answer. (Your answer needs to be based on MC and being able to sell each unit for $21.) AC ($/unit)
- C. Please draw and describe the shut-down point and the economic loss when the price is $4. Price 12 10 8 6 4 2 ○ 20 40 60 MC ATC AVC 80 100 per day) Quantity (beach ballsSince most consumers spend very little on salt, a small increase in the price of salt will:A. reduce quantity demanded by a large amountB. not reduce quantity demanded by very muchC. not change quantity demandedD. increase quantity demanded by a small amount 2.Fred is considering opening a ski shop in Colorado. Assume Fred will incur the following costs: building rent= $100000/year, inventory= $250000/ year, energy=$50000/year, and labor (one clerk) = $10000/year. In addition, Fred’s current income as a computer programmer is $40000 per year. Assuming Fred would earn $ 460000 in revenues, he could expect to earn:A. an accounting profit of $10000 per yearB. an accounting profit of $ 60000 per yearC. an economic profit of $ 10000 per yearD. an economic profit of $50000 per year 3.Suppose a firm employs only capital and labour (K and L) and its production function is Q = 2KL. If the quantities of labour and capital are fixed at K =10 and L = 25, then:A. total output cannot exceed 125B.…Write a description of mechanic commodities include copper, car, ect market in supply and demand terms.
- Choco Lovers Cost and Revenue Quantity of Gift Boxes TC ($) АTC (S) MC ($) 5 55.00 11.00 1.00 10 57.50 5.75 15 4.17 1.00 20 72.50 2.00 25 92.50 3.70 4.00 30 122.50 4.08 6.00 Assume the profit-maximizing price is $4 per gift box, and then answer the following questions: a. Profit-maximizing quantity = gift boxes b. Total revenue = $ c. Profit = $ d. Profit per unit = $ per gift box23.The base price for a product is $100 and the variable cost is $60. The quantity that was sold is 1 million units. The company decided to cut the price by 10%. What is the elasticity needed to breakeven? A) 3.33 B) -3.33 C) -0.33 D) 1 E) 0.5A Exercise (Structured Questions) G bought goods on credit from lab x deby TUZMJK4/a/MJM4NDI3MTA5M)YY/details cost, average fixed cost, long marginal revenue is Open with Google Docs fit. run average cost, total 3. Given information in the following table: Quantity Price (RM) Total Cost 60 18 58 20 3. 54 24 48 30 5 40 38 28 50 14 70 b. Determine the quantity produced by the firm c. How much does the firm earn in terms of profit" d. What is the average cost of the firm? e Sketch the AC, AR, MR and MC curve without a seale.
