User Account

All Pages

Average total cost and the average variable

Assignment Help Macroeconomics
Reference no: EM131951927

1. Suppose the total cost of producing 10,000 tennis balls is $30,000 and the fixed cost is $10,000.

a. What is the variable cost of producing 10,000 tennis balls? Show your work.

b. When output is 10,000 balls, what is the average variable cost? Show your work.

c. When output is 10,000 balls, what is the average fixed cost? Show your work.

d. Assume that the cost curves have the usual shapes. Is the dollar difference between the average total cost and the average variable cost greater when the output is 10,000 tennis balls or 30,000 tennis balls? Briefly explain your answer.

2. A 2014 article in the Wall Street Journal described the Chinese automobile industry as a "hodgepodge of companies", most of which produce fewer than 100,000 cars per year. Ford Chief Executive at the time, Alan Mulally commented on the situation by saying "If you do not have scale, you just won't be able to be competitive" Briefly explain what Mulally meant.

Reference no: EM131951927

Questions Cloud

Describe in your own words four decision making strategies : Written Questions Assessment Task 1 - Explain decision making? Describe in your own words four decision making strategies
Discuss what was under investigation in the study : Last, identify a research article from the last 5 years, that employs a commonly used research method in your chosen professional area.
What is the real rate of unemployment : Suppose the natural rate of unemployment is 6 percent and the actual unemployment rate is 8 percent. What is the real rate of unemployment?
Create a memo to pngs it department about dlp : Create a memo to PnG's IT department about DLP, explaining what its features are and whether it would be beneficial to the company.
Average total cost and the average variable : Assume that the cost curves have the usual shapes. Is the dollar difference between the average total cost and the average variable cost greater
Describe key analogies and concepts monitors expose to users : Describe the key analogies and concepts these monitors expose to users, including the task-domain objects users manipulate on the screen.
Explain the specific types of growth in people : Developmental psychologists study specific types of growth in people of a target age or age range. For example, a psychologist might study language development.
Determine the most appropriate recommendation : Explain your approach and the rationale for this method. Evaluate the outcomes of your regression model and the responses to Mrs. Turner's questions.
What is the approximate correlation coefficient : What is the approximate correlation coefficient (r) for your scatter diagram?

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd