Assume the following cost information about Fred's widget company: Its fixed cost is $27, and its total variable cost is $18 for 1 unit; $33 for 2; $45 for 3; $60 for 4; and $78 for 5 . Given this information:
a. the marginal cost of providing the second unit is $15.
b. the total cost of producing 4 units is $87
c. the average total cost of producing five units is $21.
d. all of the above are true.
d
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Since the definition of economic growth does not take into account the growth of the country's population, the income of the average person in a country with high real GDP growth could be declining through time
a. True b. False Indicate whether the statement is true or false
Let demand be given by P = 20 - 3Q and supply by P = 5 + 2Q. Equilibrium quantity will be:
A. 10 B. 3 C. 5 D. 11
If the home nation allows free trade but imposes a tariff on a product currently produced by a home firm monopoly, what is the outcome?
a. The home firm then will regain its monopoly control over the price. b. The home firm will be able to charge a higher price (world price + tariff), but it will become a price taker, just like a competitive firm. c. The home nation's firm will be able to limit quantity and charge a higher price. d. The monopoly firm will lower price, increase sales, and undercut the foreign competition.
Last year you purchased 20 shirts at $15 apiece, 30 USBs at $12 each, and 5 sweaters at $25 apiece. This year you buy 20 shirts at $20 apiece, 30 USBs at $12 apiece, and 5 sweaters at $20 apiece. If last year's index was 100, this year's index is
A. 91.3. B. 109.5. C. 102.0. D. 9.5.