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I understand if the United State dollar is weak, then exchange rate reduces. This situation would entice producers in other countries to export their goods into the United State because they would benefit from the low exchange rate of their currency and make greater profits. How does the lower exchange rate affect domestic exporters? Inversely?
Economists estimated the following cost function for X Company, Compute the ATC, AVC and MTC and plot on another graph.
Describe any two causes of economies of scale or diseconomies of scale. How is the U shape of long run ATC different from U shape of the short run ATC
Prepare a Marginal Cost Analysed Income Statement for 2014 from the above data to identify total and individual medical procedure contributions and profits.
A company has the following short run demand and cost schedule for a particular product: Calculate the total profit or loss this firm would make
Now that many businesses have upgraded to an online platform, are paper catalogs a thing of the last? Let's look at this from both sides of the table, both the customers and the manager.
Assume capital is fixed at 16 units. If the company can sell its output at a price of $100 per unit and can hire labor at $25 per unit,
Kate's Katering offers catered meals, and catered meals industry is perfectly competitive. Kate equipment costs $100 per day and is the only fixed input.
The law of diminishing marginal productivity states that as more and more of a variable input is added to an existing fixed input,
Two local ready mix cement manufacturers, Here and There, have combined demand given through Q = 105 - P. Their total expenses are given by TC = 5Q + 0.5Q2 and TC = 5Q + 0.5Q2.
American Linen is a company that has multiple salespersons. In 2008, it changed the compensation method for its sales force, moving from a system of fixed wages to one of base wage plus charge.
Use the concepts of economies and diseconomies of scale to describe the shape the companies long run ATC curve. Determine the concept of minimum efficient scale?
The hourly wage rate is $6, hourly rentail rate for capital is $8. The production function I found to be q=10K^.5L^.5 The captital if fixed at 225 hours in the short-run.
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