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Demand and cost

Q P ATC #of Shoe per shoe per Shoe 100,000 $100 $20 200,000 80 15 300,

Fixed Costs to be Considered for a Contribution Income Statement

This is an accounting problem: Im trying to compile a contribution margin statement and I am having problems deciphering what I should include for fixed costs. Can anyone help me? Here are the Activities: Start-up costs Research & Development Raw Materials for manufacturing Salaries to selling and office employees Wag

minimum Annual Total Cost

I need to model and solve this problem using Excel spreadsheets. I need to be able to understand how to derive the answer. So, I need to see the formulas and the step by step approach so I can see how it was done and learn/understand for future exercises. It's very important that I'm able to see the work involved so I ca

Plotting production curve

The questions asked that suppose that, because of important technological improvements, the society in question can double its production of tractors at each level of food production. If so, is this society on its new production possibilities curve if it produces 20 million tons of food and 16 million tractors? Plot the new pr

Cost and Labor Question

After a study done a company shows a table below summarizes the results from the study: This is based on 5 untis of capital is currently used. Workers are paid at $50.00 per unit. Per unit capital costs are $10.00 and a product is sold for $5.00 each. Given this information optimize your Human Resources and Production decis

Cost and Production Problem

The Best Plane Company supplies airplane sheet metal panels that are used in exterior of the planes. Making these panels require 5 sheet metal forming machines, which costs $300 each and workers. These workers can be hired on an as needed basis in the market at $7,000.00 each. Market price is each panel is $50.00 dollars eac

Production Function Problem

Need help solving this homework problem for study. A firm can manufacture a porduct accouding to the porduction function: Q = F (K,L) = K 3/4 L 1/4 a. Calculate the average product, AP L, when the level of captial is fixed at 16 units, and firm uses 16 units of labor. How does the average production of labor change

Production Decisions in Short Run: Continue or Not

You've been hired by an unprofitable firm to determine whether it should shut down its unprofitable operation. The firm currently uses 70 workers to produce 300 units of output per day. The daily wage (per worker) is $100, and the price of the firm's output is $30. The cost of other variable inputs is $500 per day. Although

Engineering Economics

Please show me the steps involved to solve the attached problems. --- 10. For a given operation the fixed costs are 4,000,000. The semi-variable costs are 20% of the fixed costs plus $5.20 per unit. The variable costs are $16.00 per unit. The business unit is looking for a 15% markup. If the units sell for $28.00 per uni

Making a cartel

The marginal cost of mining a diamond is a constant $1,000. The following schedule shows demand for diamonds that are mined in South Africa and Russia. Price ($) Quantity 8,000 5,000 7,000 6,000 6,000 7,000 5,000 8,000 4,000 9,000 3,000 10,000 2,000 11,000 1,000 12,000 a. If Russia and South Africa formed a cart

Production possibilities frontier

Construct a production possibilities frontier for a nation facing increasing opportunity costs for producing food and video games. Explain how this curve represents the most efficient use of this nation's resources. Show how the frontier changes, given the following events: ? A new and better fertilizer is invented. ? Th

Current Practice of Bundling Golf Option with Luxury Option

Need help on an optimal bundling strategy for the golf, luxury, and family options. Discuss profits under each alternative. Thanks. To: Corporate Strategy Analyst From: Marketing Department Subject: Customer Demand for Blue Jet The marketing department has extensively researched the habits of Blue Jet customers. We w

Express the difference between elastic and inelastic demand

1. a.Can you please define opportunity cost? With the aid of a carefully labelled production possibility curve, could you illustrate the concept of increasing oportunity cost. Why does opportunity cost increase? b. i.What is the difference between elastic and inelastic demand. Please be precise. ii.If a restaurant incre

Operating/production Costs Analysis - MicroEconomics

Q: Two small airlines provide shuttle service between Las Vegas and Reno. The services are alike in every respect except that Fly Right bought its airplane for $500,000, while Fly by Night rents its plane for $30,000 per year. Analyze which airline has lower costs, and explain your reasoning clearly. Be sure to include defin

Output of Profit Maximizing Monopolist

1. Explain what, if any, each of the following government actions will have on the output of a profit maximizing monopolist, assuming that none of the actions is so severe as to make the monopolist shut down. Use a graphical model to demonstrate each of the following effects. a. A licence fee to be paid for the privilege of ope

Problems on Productivity

1. Use the information supplied to completely evaluate the trend in productivity for the company that furnished the information (table shown below). 2. You have been presented with the approximate figures for service jobs in certain countries (as shown on the table below). You have also discovered that overal productivity inc

Solow Model

1. Verify that, for the neoclassical production function, the marginal product of capital and the marginalproduct of labor are in fact given by (respectively), ∂Y/∂K =f'(K) and ∂Y/∂L= f(k)- kf'(K) (Minimum requirement: a serious attempt at deriving these expressions.) the professor gav

Optimization Problem (Profit Maximizing Production)

The Stock Corporation makes two products, paper and cardboard. The relationship between p, the firm's annual profit (in thousands of dollars) and its output of each good is {see attachment}, where Q1 is the firm's annual output of paper (in tons) and Q2 is the firm's annual output of cardboard (in tons). a) Find the profit m

Finding Total Economic Profit

Here is the Scenerio- Labor is only variable input. Output is 4000 unit Marginal Product of labor is 10 Average Product of labor is 50 Price of labor is $150 Marginal product of capital is 40 Average product of capital is 60 Price of capital is $240 Total Fixed Cost is $16000. Output is 4000. Have to find out MC, AVC, AFC, ATC

Finding Short Run, Long Run movement

Suppose Labor is a Variable Input. Capital and Land are the inputs that requires the longest time period before they can be adjusted. Explain the movement of the resources in both SHORT RUN and LONG RUN Labor Capital Land

Production Costs

If the total cost of producing 10 units is $100 and the marginal cost of the eleventh unit is $21, then which of the following is NECESSARILY true? A) Total variable costs of 11 units are $121. B) Total fixed costs are $79. C) The marginal cost of the tenth unit is more than $21. D) The average total cost of 11 units

Production Possibilities Frontier

12. Movement from frontier AE in the figure on the previous page to frontier A'E' would not be the result of A) an increase in the stock of capital. B) an increase in the labor force. C) an increase in all prices at the same rate at the same time. D) an increase in the supply of inexpensive energy. E) none of the

Production Possibilities Frontier

11. Of the following points, which point reflects the most efficient use of available resources in relation to frontier AE in the figure above? A) F. B) G. C) C. D) H. E) Cannot tell from the information provided PlS SEE ATTACHED FILE

Financial Management

(Please show work) 10. Support costs have increased in today's manufacturing environment because: (a) managers have let them get out of control (b) there is now a shift toward greater automation (c) fewer direct materials are being used in production (d) direct labor costs have increased

European economic history

In what ways does the invention and diffusion of double entry bookkeeping represent a process of productivity increase in the business activity of the 15th century