Refer to the information provided in Table 8.5 below to answer the question(s) that follow.
Table 8.5Number of SwordsTVCMCAVCTFCTCAFCATC0???? 50??1?25?????2??????47.503??23.33????4????150??5135??????Refer to Table 8.5. If Phoebe produces two swords, her marginal cost is
A. $20.
B. $22.50.
C. $36.25.
D. $61.25.
Answer: A
You might also like to view...
When an economy operates at its long-run potential output level,
a. aggregate demand will exceed aggregate supply in the goods and services market. b. unemployment will decline to an abnormally low rate that cannot be sustained in the long run. c. the actual rate of unemployment will exceed the natural rate of unemployment. d. the natural and actual rates of unemployment will be equal.
Which of the following conditions is most essential if a firm is going to earn long-run economic profits?
a. an inelastic market demand for the product b. a small number of firms, even though competitors are free to enter the industry c. a differentiated product d. restrictions that limit the entry of potential competitors into the industry
If the demand elasticity for corn in the current marketing is -0.5 and you know that the demand curve is linear and it goes through 10 billion bushels at a price of $5.00 per bushel, then if production turns out to be 12 billion bushels, the price of corn will be
A. $3.00 B. $4.00 C. $5.00 D. $6.00
If there are significant economies of scale in an industry, then:
A. a firm that is large may be able to produce at a lower unit cost than can a small firm. B. a firm that is large will have to charge a higher price than will a small firm. C. entry to that industry will be easy. D. firms must differentiate their products to earn economic profits.