5 Econ Questions (Each question is separate and all the information is provided)

1.

The table below describes Jordan's utility behaviour as he consumes additional burgers at his favourite restaurant. Compute the Marginal Utility (MU) that Jordan derives for each additional burger consumed. Burgers Consumed Total Utility Marginal Utility 1 36 2 68 3 96 4 120 Marginal Utility for the first unit is: Marginal Utility for the second unit is: Marginal Utility for the third unit is: Marginal Utility for the fourth unit is: The table below describes Richard's utility behaviour as he consumes additional burgers at his favourite restaurant. Compute the Total Utility that Richard derives for each additional burger consumed. Burgers Consumed Marginal Utility Total Utility 18 2 14 3 10 4 6 Total utility for the first unit is: Total utility for the second unit is: Total utility for the third unit is: Total utility for the fourth unit is: Jerry took $82000 that she had in savings and started her own business. If her savings were left in investments, she would have earned $8000 this year. Jill also left a job that paid her $81000 a year and plans on paying herself $60000. Materials and other labour costs will be $90000. The company is located in a building that Jill owns. She could have rented the building out for $50000 but plans on charging the company only $40000. What do the accounting (explicit) and economic (explicit + implicit) costs equal? Do not enter the comma "," or a dollar sign ($) while entering your answer. accounting (explicit) equals: economic (explicit + implicit) costs equals: Charles currently works as a restaurant manager for a large restaurant chain. As a restaurant manager, Charles earns $20 per hour and works 160 hours per month. Charles currently supplements his income with $2000 a month rent he collects from a building he owns and 4% pa. interest he earns on $100000 in a bank savings account. Instead, Charles would like to start his own restaurant business and work fulltime (160 hours per month) in this new business. To do this, Charles would no longer rent out his building. Instead, he would convert his building into his new restaurant. Charles would have to use his full $100000 savings to appropriately renovate his building to serve as his restaurant. Charles hired an accountant who estimated the annual revenue and costs of the Restaurant as follows: Annual Restaurant Sales 5350 000 Less Annual Expenses: Utilities 7 000 Product Costs (food ingredients, napkins used. etc.) 130 000 Employee Wages (not including Jim's wages) 160 000 Business Taxes 3 000 Based on the information provided above, compute the following: Enter negative values using a minus sign "-" before the number, for example -55.20. Do not enter comma , or dollar sign {$) while entering your answer. Annual accounting profit equals: The annual implicit wages of Charles working in his own Restaurant equals: The annual implicit rent of Charles using his building for the Restaurant equals: The annual implicit cost of Charles using his own savings to start the Restaurant equals: The annual economic profit that Charles's Restaurant is expected to earn equals: Table Y Total Input {Labour} Total Product {Television 5] 12 25 39 50 60 58 54 48 mummnwwa In the table above, calculate the following: Marginal Product at 15'L unit of labour: Marginal Product at 2nd unit of labour: Marginal Product at 3rd unit of labour: Marginal Product at 41" unit of labour: Marginal Product at 5th unit of labour: Marginal Product at 6th unit of labour: Marginal Product at 7th unit of labour: Marginal Product at 8th unit of labour: In the table above, diminishing returns begin with the addition of worker number th In the table above, the marginal product becomes negative when the worker is added