Answered: The explicit cost of the firm is $800,…

The explicit cost of the firm is $800, implicit cost is $550 and the total revenue is $3000 Calculate the economic profit

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: Suppose that the fixed cost for a product is $200 and the break-even quantity is 50. find the…

A: The marginal profit will be computed as the selling price per unit, minus the variable cost per…

Q: average total cost and what is the average variable cost I put what I thought the answers could be.

Q: A profit - maximizing firm in a competitive market is currently producing 100 units of output. It…

A: In case of perfect competition there are large number of buyers and sellers. The firms sell…

Q: Refer to the figure above, what happens to the average fixed cost of production when the firm…

A: Cost can be defined as a concept that shows the amount of expenditure and any other sacrifice such…

Q: A firm currently produces 500 units at a price of $40. If it earns $1,500 profit, what must the…

A: Profit is the difference between the total revenue and total cost. Profit is given as :- Profit =…

Q: Find the value of the profit when the total revenue is $65 billion and total cost is $25 billion?

Q: If marginal revenue is $430 and the marginal cost is $320 Find marginal profit

A: According to the above given question, we are given that:- Marginal revenue = $430 Marginal cost =…

Q: When Yennefer produces 68 spells her total cost is $4,530 and her average variable cost is $23. What…

A: Answer: Given, Total cost (at Q=68) = $4,530 Average variable cost= $23 Fixed cost=Total cost-Total…

Q: Calculate the marginal revenue when marginal profit is $23 and the marginal cost is $78

A: # Marginal revenue is the additional revenue generated with the sale of an another unit of good and…

Q: This is a graph of our firm’s costs. Label the lines on the graph using the following labels:…

A: Cost of production is those costs which are incurred by the manufacturer for manufacturing the…

Q: Find economic profit if total revenue is $4000 , explicit cost is $700 and implicit cost is $500

A: The data presented in the question above is:- Total revenue = $4000 Explicit cost = $700 Implicit…

Q: With the aid of label diagrams explain the law of diminishing marginal returns

A: The law of diminishing marginal returns states that as the variable input is increased, the…

Q: The maximum loss a firm should experience in the short run is equal to: a) a) zero b) b) total costs…

A: In the short run, the firm will not exit the market if the average total cost exceeds the price…

Q: Calculate marginal profit if marginal cost and marginal revenue are $44 and $80 respectively

A: The data presented in the question above is:- Marginal revenue = $80 Marginal cost = $44 Marginal…

Q: If economic profit is $5000, explicit cost is $1200, total revenue is $7000 Calculate the value of…

A: The given information is as follows:- Economic profit of the firm = $5000 Explicit costs = $1200…

Q: Find the economic profit when the total revenue is 21,000 and the total cost is 14,000?

Q: Implicit cost is $200, explicit cost is $260 and total revenue is $800 Calculate the Economic…

A: The information given to us:- Implicit cost of firm = $200 million Explicit cost of firm = $260…

Q: The graph shows the cost curves are they profit maximizing firm in a competitive market. If the…

A: In a competitive market, there are a large number of sellers and buyers who have full information…

Q: What is the total cost for this firm? (omit $ sign. Report cents as needed.) MC ATC D Quantity Price…

A: The firm maximizes profit by producing at MR =MC

Q: If marginal cost and marginal revenue are $30 and $44 Find marginal profit

A: According to the above mentioned question, the values are:- Marginal cost = $30 Marginal revenue =…

Q: Calculate the value of Marginal revenue when marginal cost is $73 and the marginal profit is 0

A: # the marginal profit is given as the difference between the marginal revenue which is collected by…

Q: At the profit maximizing output level of 100, the price of the output is 25, the fixed costs are…

A: Given information: The profit-maximizing level output of the firm is 100. The price of output is 25.…

Q: 3.2. MP34U. Music Ventures sells a very popular MP3 player, the MP34u. The firm currently sells one…

A: Introduction Demand elasticity is a measure of how much the total demand for a good or service…

Q: Calculate the loss incurred by the firm if the total revenue is $630 and the total cost are $900

A: The information given to us is as follows:- Total revenue = $630 Total cost = $900 Clearly TC >…

Q: Q3_A The Break even Analysis of firm show that: BEP = 1000 FC = 10,000 $ P = 3% of the quantity of…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: A firm's long run cost is the cost of production when the firm Select one calculates its cost at…

A: In the long run, all the factors of production are variable, that is, the firm can even alter the…

Q: Doug produced 100 donuts but only sold 90 of them. The average cost of production for each donut was…

A: Demand curve represents a negative relationship between price and quantity demanded. Increase in…

Q: The following diagram shows cost curves for a perfectly competitive firm. %24 SMC 2.60 ATC AVC 1.60…

A: Here, marginal cost, Average variable cost and average total cost curves are given.

Q: complete the solution for Marginal profit of Y = dProfit /dY = -X - 4Y + 120

A: Marginal profit is the derivative of total profit with research to the quantity. Marginal profit is…

Q: The table below shows cost data for WipeOutSki Company, which manufactures skis for beginners. If…

A: Marginal cost is the cost of producing one more unit of a good. It can be calculated by taking the…

Q: When the article said that Bird was making 19% gross margin profit, this is

A: Gross margin, a measure of profitability, calculates the difference between sales and costs as a…

Q: Find the marginal profit when the Marginal revenue is $1120 billion and marginal cost is $680…

Q: The Trouser Company has fixed costs of 2,000 per week. In addition, we have some information about…

A: Total cost is the sum of fixed cost and variable cost. Fixed cost is constant and does not depend on…

Q: Use the following information to answer question 22-23 Number of Workers Hired 4 3 6 7 B seventh…

A: Since you have posted multiple MCQs from different topics, we will be solving only the first two…

Q: The marginal revenue MR =800-6q and the average cost function AC=5+300/q.Find the profit when 10…

A: Given: Marginal Revenue MR = 800-6q Average Cost Function AC=5+300/q Q=10

Q: What would be the profit of a firm who generates a total revenue of $3300 and the cost incurred is…

A: The data presented in the question above is:- A firm's total revenue is = $3300 It's total cost is…

Q: (A) Comment on marginal revenue and marginal cost values when it is given that marginal profit is 0.…

A: Profits are the excess of revenue receipts over the costs incurred by the firm. A firm earn revenue…

Q: What would be the profit earned by the firm if his total revenue is $490 and the total costs are…

A: The information given is as follows:- Total revenue earned = $490 Total costs = $500 Total revenue…

Q: Calculate the profits of the first if it is given that the total revenue generated is $60,000 and…

A: # The profits of a firm is given as the difference of total revenue and total cost. Profit = Total…

Q: At what level of output is average cost a minimum? What is the average cost (AC) at that output?…

A: Average cost, also known as average total cost (ATC), is a financial metric used in economics and…

Question

The explicit cost of the firm is $800, implicit cost is $550 and the total revenue is $3000

Calculate the economic profit

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Given information

VIEW

Answer

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

How profit is different from the incorporating normal profit and when the normal profit is into average cost curve?
The economic profit is $3000, Total revenue is $5000, explicit cost is $800 Calculate implicit cost
Total fixed cost for this firm:
A company produces very unusual CD's for which the variable cost is $ 9 per CD and the fixed costs are $ 50,000. They will sell the CD's for $ 57 each. Let x be the number of CD's produced and sold. a. Write the total cost TC as a function of the number of CD's produced and sold. TC = $ b. Write the total revenue TR as a function of the number of CD's produced and sold. TR = $ c. Write the total net income NI as a function of the number of CD's produced and sold. NI = $ d. Find the number of CD's which must be produced and sold to breakeven. The number of CD's which must be produced and sold to breakeven is Round UP to the nearest whole number of CDs. Submit Question
Question 1 Include correctly labeled diagrams, if useful or required, in explaining your answers. A correctly labeled diagram must have all axes and curves clearly labeled and must show directional changes. If the question prompts you to "Calculate," you must show how you arrived at your final answer. Quantity of Output Total Cost $12 1 $14 2 $18 $24 4 $32 5 $42 6 $54 7 $68 The table above shows the total cost function for a typical firm producing hats in a perfectly competitive market. The market price for hats is $9 per hat. (a) Calculate the average variable cost of the fifth unit. Show your work. (b) What is the firm's profit-maximizing quantity of hats? Explain using marginal analysis. (c) Draw a correctly labeled graph showing the firm's demand and marginal cost curves, and show the profit-maximizing quantity of hats determined in part (b). (d) If the rent of the building the firm occupies increases, what will happen to the firm's profit-maximizing quantity of output in the short…
How do you calculate a firm's total cost and total revenue?
Hand written solutions are strictly prohibited
A company produces very unusual CD's for which the variable cost is $ 11 per CD and the fixed costs are $ 30000. They will sell the CD's for $ 89 each. Let x be the number of CD's produced. a. Write the total cost C as a function of the number of CD's produced. C = $ b. Write the total revenue R as a function of the number of CD's produced. $ R = c. Write the total profit P as a function of the number of CD's produced. $ P = d. Find the number of CD's which must be produced to break even. The number of CD's which must be produced to break even is Round to the nearest number of CDs.
Consumer and Producer Theory A small marketing agency has the following cost structure. Monthly rent on office space = *50,000 Monthly wages of each copywriter = 20,000 Here are the units of output produced per month according to the number of copywriters hired. No. of copywriters Units produced per month 4 5 6 1.0 1 7 2 4 01 6 7 8 9 10 30 55 75 90 100 108 Till what number of copywriters was the firm experiencing economies of scale? 114 118 116 117
AR Using the following information. Compute for the Total Cost in producing 10,000 units.
If marginal cost and marginal revenue of a firm A is $30 and $56 respectively Calculate the value of Marginal profit
Vinnie’s Painting Company specializes in painting houses. Their cost schedule is as follows:Output TFC TVC TC AFC AVC ATC MC 0. 10001. 1002. 1003. 4004. 4505. 16006. 32007 6400 A) Given the partial data available, finish the table and calculate all the costs. B)What is the minimum efficient scale of Vinnie’s company?C)What is the marginal cost of 6 houses?D)If Vinnie charges $825 per house, how many houses he should paint to maximize profit