Marginal Cost, Microeconomics

Assignment Help:
The question states that a hotel charges $60 a night for a room per night during off peak. This hotel has a fixed cost of $75 per night and variable costs of $40 per night (only applicable if the room is rented). I am to determine if it is best for the hotel to rent the rooms or close down during this period. I am told to include reference to a graph. I am sure it is worth while to rent the rooms as the revenue created is more than the variable cost but I''m not sure what graph illustrates this.

Thanks,

Mitch

Related Discussions:- Marginal Cost

Edge act, Edge Act A federal law passed in 1919 that are available nat...

Edge Act A federal law passed in 1919 that are available national banks to accomplish foreign lending operations through federal or state chartered subsidiaries called Edge Ac

Economics, illustrate and explain using diagrams how a single seller within...

illustrate and explain using diagrams how a single seller within the market can maintain an inefficient allocation of resourcesquestion #Minimum 100 words accepted#

Illustrate marginal utility of the variable commodity , As a consumer incre...

As a consumer increases the consumption of any one commodity, marginal utility of the variable commodity must eventually decline."Illustrate the statement. Illustrate law of dem

Fixed exchange rate system, FIXED EXCHANGE RATE SYSTEM: National curre...

FIXED EXCHANGE RATE SYSTEM: National currencies are generally acceptable within the geographical boundaries of a country. As such, trade between countries typically involves

What is benefits transfer, Q. What is Benefits transfer? The process of...

Q. What is Benefits transfer? The process of transferring benefit estimates from past valuation studies to the present study, in order to reduce appraisal costs. The validity

Health and life expectancy, Health and Life Expectancy: In addition t...

Health and Life Expectancy: In addition to struggling on low income, many people in the developing nations fight a constant battle against malnutrition, disease and ill healt

Draw the 4 individual cost curves on one graph, You are the final voter in ...

You are the final voter in a brand new start-up league, the Ultra Fun Foosball League (UFFL). The directors are looking to you to make the decisions on how many teams to place in a

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