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Assume that you are a producer of wheat. The market price for a bushel of wheat is $ 1 1 . Below is your cost
Assume that you are a producer of wheat. The market price for a bushel of wheat is $ Below is your cost and revenue of production.
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a Fill in the chart by replacing the shaded cells round to the nearest hundredth of a dollar pts
b Graph Marginal Cost, Average Variable Costs, Average Fixed Costs, Average Total Cost, and Marginal Revenue on the same graph. Are you making a profit? Show your profit or loss on your graph. pts
c Based on your profitmax decision, how many bushels of wheat should you produce whole number At what price? pts
d Calculate your profit or loss you must use both equations!!! pts
c What is the breakeven price? pts
f Graph Marginal Cost, Average Total Cost and Average Variable Cost on the same graph. In the short run, what is your shut down price? In the longrun what is your shut down price? Indicate these prices on the graph and tell me the actual price
g Should you shut down in the short run? Long run? Explain why pts
H Should you raise the price of wheat to $dollars a bushel? justify your answer
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