Compute marginal cost and average total cost, Microeconomics, Microeconomics

Assignment Help:
Crumble Corporation produces cookies. Here is the relationship between the number of workers and output (in dozens of cookies) in a given day:

Workers

Output

Marginal Product

Total Cost

Average Total Cost

Marginal cost

0

0









1

28









2

50









3

67









4

80









5

90









6

95









7

96









a. Fill in the column of marginal products. What pattern do you see? How might you explain it?

b. A worker costs $30 per day and the ''Firm has fixed costs of $10. Use this information to fill in the column for total cost.

c. Fill in the column for average total cost. (Recall that ATC = TC/Q) What pattern do you see?

d. Now fill in the column for marginal cost. (Recall that MC = ATC/AQ.) What pattern do you see?

e. Compare the column for marginal product and the column for marginal cost. What pattern do you see?

f. Compare the column for average total cost and the column for marginal cost. Explain the relationship.

Related Discussions:- Compute marginal cost and average total cost, Microeconomics

Market Demand, Ask quesThe market demand for brand X has been estimated as ...

Ask quesThe market demand for brand X has been estimated as Qx = 1,500 - 3Px - 0.05I - 2.5Py + 7.5Pz where Px is the price of brand X, I is per-capita income, Py is the price of

Cardinal theory - consumer choice concerning utility, Cardinal Theory: ...

Cardinal Theory: An Introduction In cardinal approach, utility is measured cardinally or numerically in terms of money. The consumer not only knows which one is preferred but

Random sampling, Random sampling is a technique for sampling which we can s...

Random sampling is a technique for sampling which we can select a group of subjects or a sample for study from a larger group or a population. Each entity individually is chosen en

Competition and industry ., need to get assignment on income effect and sub...

need to get assignment on income effect and substuation effect how does increase in price of both comodity will affect the or show the new effect

(Bcg) matrix, Analysis of business portfolio by using Boston Consultant Gro...

Analysis of business portfolio by using Boston Consultant Group (BCG) Matrix.

Microeconomic theory, Homer consumes only donuts and beer. When he consumes...

Homer consumes only donuts and beer. When he consumes less than 10 beers, Homer would gladly drink one more. After drinking 10 beers, Homer is so drunk that he does not notice any

Currency was used in the 1700s, What currency was used in the 1700s? Ans...

What currency was used in the 1700s? Ans) this is depends on the country. Most currencies, though, were based on gold and silver. In America, in the 13 colonies, tobacco wa

Partial input elasticity of output, Partial Input Elasticity of Output:   ...

Partial Input Elasticity of Output:   This is a short-run concept which deals with the variability of only one factor keeping the others constant. There are three kinds of retu

Bandwagon effect, In the diagrams related to bandwagon effect, why do we sa...

In the diagrams related to bandwagon effect, why do we say when the price is 30$ the demand is 40?

Write Your Message!

Captcha
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!

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