Calculate average cost and marginal cost, Cost Accounting

Farmer Dorr figures that her fixed costs are $2,000, and the relevant portion of her total cost curve is:

                                          Thousands of                   Total Cost

                                          Bushels            (in thousands of dollars)

                                              10                                   10.70

                                              11                                   11.45

                                              12                                   12.25

                                              13                                   13.10

                                              14                                   14.00

                                              15                                   15.00

                                              16                                   16.10

                                              17                                   17.32

                                              18                                   18.75

                                              19                                   20.30

a)   Calculate Farmer Dorr's schedules of average cost, marginal cost, total variable cost, and average variable cost.

b)   If Farmer Dorr is a perfect competitor, what level of output should she produce, if the market price is:

                  (i)  $1.50   (iii) $0.92

                  (ii) $1.00   (iv) $0.82

Posted Date: 3/30/2013 3:29:07 AM | Location : United States







Related Discussions:- Calculate average cost and marginal cost, Assignment Help, Ask Question on Calculate average cost and marginal cost, Get Answer, Expert's Help, Calculate average cost and marginal cost Discussions

Write discussion on Calculate average cost and marginal cost
Your posts are moderated
Related Questions
CVP Analysis in Situations Subject To Change Revenue and Cost will change and also sales volume because of a number of factors involving: a) Increased competition may need

Waterloo Machining, Inc. paid $1,800,000 for factory equipment on January 1, 2012. It paid $100,000 for delivery and $220,000 for installation and modifications.  Waterloo received

1. The following three one-year "discount" loans are available toyou: Loan A: $120,000 at a 7 percent discount rate Loan B: $110,000 at a 6 percent discount rate Loan

I need an explanation of how a bin card is done

Goal Congruence - Behavioural Aspects of Standards A perfect variance analysis and standard costing system must enhance goal congruence between as: i. The goal of individua

Cost sheet is a declaration of cost for a product for given period of time.

What type of activity could a company engage in to improve their cash flows in their Cash Flows Statement? Is this ethical? Could borrowing money make the cash from operations be

As the Junior Bank Clerk of a business, one of your monthly tasks is to prepare the bank reconciliation statement. At the month ending 31 January 2012, the bank statement has be

ANALYSIS OF VARIANCE When the actual are not similar from the standards, variance exists. Variance may be unfavorable or favorable. When the actual cost is more than the standa

QUESTION 1: PART A Swatathon Inc. has two production departments (A and B) and two service departments (maintenance and stores). Details of next year's budgeted overheads