QUESTION 19 Assume short-run production. Select the statements that are true. O The marginal cost at a particular output level is the slope of a line from the origin to the corresponding point on the cost curve. Changes in fixed costs do not affect the shape or placement of the total cost curve. The average cost curve is everywhere above the average variable cost curve. The difference between the total cost and the total variable cost is a constant. 000000 The marginal cost is the slope of the total cost curve or the total variable cost curve.. The "law of diminishing marginal returns" could also be termed the "law of increasing marginal costs" When total cost or total variable cost is increasing, there are increasing marginal returns to the variable input.

QUESTION 19 Assume short-run production. Select the statements that are true. O The marginal cost at a particular output level is the slope of a line from the origin to the corresponding point on the cost curve. Changes in fixed costs do not affect the shape or placement of the total cost curve. The average cost curve is everywhere above the average variable cost curve. The difference between the total cost and the total variable cost is a constant. 000000 The marginal cost is the slope of the total cost curve or the total variable cost curve.. The "law of diminishing marginal returns" could also be termed the "law of increasing marginal costs" When total cost or total variable cost is increasing, there are increasing marginal returns to the variable input.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Q30
Moris just opened a chocolate place, it costs her $500 per day to pay for workers’ wages and an additional $2 for each chocolate they make. a. What are the total cost and average cost functions for Moris chocolates b. If Moris chocolate place is open 6 days a week and sells chocolates for $5 each, how many chocoolates does Moris place need to sell each week to break even on its accounting cost?
4. Suppose a short-run total cost function is given by C= 600 + 40Q^0.3 + 5 Q^2: (a) Find out the fixxed cost, variable cost, marginal cost, average variable cost and average total cost.
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