Which statement is correct?Choose an answerO 1. The average fixed costs increase with the production volume.O 2. The average total costs are minimal when the average fixed costs are equal to the averagevariable costs.O 3. In the long term, it pays to maintain production operations as soon as a positivecontribution margin is generated.O 4. The operating optimum is where the marginal costs intersect the average variable costs.O 5. As long as the marginal costs are below the average total costs, theaverage total cost.

Answered: Which statement is correct? Choose an…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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In the table, the average variable cost at 2 units of output is Output (balloons per hour] Total Cost (dollars per hour) $4.00 $7.00 $8.00 $12.50 $17.20 $22.00 $29.00 5 O A. $1.00. OB. $2.00. OC. $4.00. OD. $4.80. 1234t n6
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which is correct
6 7 8 answer only
Bozo is a clown. He wants to start a clowning business where he sends other clowns out to birthday parties. Use the graph to Birthday parties answer the questions. 20 19 18 17 16 15 14 13 12 What is the marginal product of the third worker? O 2 11 10 6. 8. 7. 3.0 9. 3. 2. I 2 3 9 10 4 56 8. This production function demonstrates Workers diminishing marginal costs. a negative marginal product of labor. diminishing marginal returns to labor. diminishing output.
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QUESTION 9 A company currently sells for $100 a product that has a variable cost per unit of $48. Fixed costs are $910,000 and not expected to change in the next period. If the company desires to reduce its break-even point by 1,250 units, by how much must they reduce variable costs? OA. $5.00 4 B. $3.75 OC. $4.00 D. $5.25
Table 13-9 0 1 2 3 4 5 Labor (Number of workers) (Units) (Dollars) Output Fixed Cost Variable Cost 0 100 180 240 280 300 30 30 30 30 30 30 (Dollars) 0 15 30 45 60 75 Refer to Table 13-9. For the firm whose production function and costs are specified in the table, its total-cost curve is O a. increasing at an increasing rate. O b. constant. O c. increasing at a decreasing rate. O d. unknown because there is no relationship between a firm's production function and its total-cost curve.
B. the rodu g one m Average Variable Cost C. fixed costs divided by output D. total cost divided by output v Marginal Cost QUESTION 5 20 points Save Answer Match each of the following terms and descriptions Constant returns to scale when the average cost of producing each individual unit A. declines as total output increases Diseconomies of scale average cost of producing each individual item increases as В. output increases economies of scale average cost of producing each individual unit remains C. constant as output increases Long Run Average Total Cost Curve the relationship between output and costs over the life of a D. business Click Save and Submit to save and submit. Click Save All Answers to save all answers. Save All Answers Save and Submit ype here to search W 63°F Ca ) ENG 8:10 PM 10/18/2021 hp
Q46 Why do we refer to the long-run average cost curve as a "boundary"? a. The points below the curve represent cost levels that are unattainable given current technology and factor prices. b. The points above the curve represent cost levels attainable to the firm only with adjustment of all factor prices. c. The points above the curve represent costs that are unattainable given current technology and factor prices. d. None of the other options are correct. e. The points on the curve represent a boundary between fixed factor prices and variable factor prices. Clear my choice
. What are the firm's fixed costs?$ c. What is the variable cost of producing 475 units of output (use least-cost)?$ d. How many units of the variable input should be used to maximize profits?e. What are the maximum profits this firm can earn?$ f. Over what range of the variable input usage do increasing marginal returns exist?From ___ to ____g. Over what range of the variable input usage do decreasing marginal returns exist?From ___ to ___h. Over what range of input usage do negative marginal returns exist?From ___ to ___ . What are the firm's fixed costs?$ c. What is the variable cost of producing 475 units of output (use least-cost)?$ d. How many units of the variable input should be used to maximize profits?e. What are the maximum profits this firm can earn?$ f. Over what range of the variable input usage do increasing marginal returns exist?From to g. Over what range of the…
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