ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Please show how to complete chart LRAC what is the process 

The inputs and outputs for Yogi Soft Drinks Inc. are as shown in the table below.
a. If capital costs $28 per unit and labour costs $16 per unit, fill in the blanks in the table.
Round your "LRAC" answers to 2 decimal places.
INPUTS
Сapital
Output
Labour
Total Cost
LRAC
100
1
3
76
200
2
5
136
300
196
400
256
500
14
364
24
552
600
6
b. When are increasing returns to scale present?
to
c) At what output is minimum efficient scale achieved?
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Transcribed Image Text:The inputs and outputs for Yogi Soft Drinks Inc. are as shown in the table below. a. If capital costs $28 per unit and labour costs $16 per unit, fill in the blanks in the table. Round your "LRAC" answers to 2 decimal places. INPUTS Сapital Output Labour Total Cost LRAC 100 1 3 76 200 2 5 136 300 196 400 256 500 14 364 24 552 600 6 b. When are increasing returns to scale present? to c) At what output is minimum efficient scale achieved?
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