Discussion question Do you run the class or cancel it Use microeconomics to detirmine it Consider this decision scenario related to your studies on whether or not a college should run a class (All numbers made up )Relevant information and assumptions are For each student the college receives $300 in tuition per class and another $300 in state aid, $600 altogether We are considering whether to let a night class in Labor Economics run We are assuming that we are using an adjunct (part time) instructor that we pay $2,000 to teach the class We are assuming that if the class doesn't run, we'll lose all the students, that they'll go to another college to take the class or will just do something else with their time Also, that this class doesn't have an effect on whether or not they take other classes at school In order for a class to coverallof the fixed (things like the Dean's and President's salaries and the building and insurance that you will have to pay whether or not you run the class) and variable costs associated with it (variable costs are mainly the instructor who you will have to pay if you run the class and won't have to pay if you don't) it needs to generate $9,000 with an enrollment of 15 students 10 students sign up for the class

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Discussion question.... Do you run the class or cancel it?Use microeconomics to detirmine it. Consider this decision scenario related to your studies on whether or

Discussion question.... Do you run the class or cancel it?Use microeconomics to detirmine it.

Consider this decision scenario related to your studies on whether or not a college should run a class. (All numbers made up.)Relevant information and assumptions are:

For each student the college receives $300 in tuition per class and another $300 in state aid, $600 altogether.
We are considering whether to let a night class in Labor Economics run.
We are assuming that we are using an adjunct (part-time) instructor that we pay $2,000 to teach the class.
We are assuming that if the class doesn't run, we'll lose all the students, that they'll go to another college to take the class or will just do something else with their time.Also, that this class doesn't have an effect on whether or not they take other classes at school.
In order for a class to coverallof the fixed (things like the Dean's and President's salaries and the building and insurance that you will have to pay whether or not you run the class) and variable costs associated with it (variable costs are mainly the instructor who you will have to pay if you run the class and won't have to pay if you don't) it needs to generate $9,000 with an enrollment of 15 students.
10 students sign up for the class