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Hey beneath is the problem and beneath that the questions towards the problem if I could get help and explanation would be very nice, thank

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Hey beneath is the problem and beneath that the questions towards the problem if I could get help and explanation would be very nice, thank you.

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Problem 1: Deriving cost curves from total physical product information In this section we argued that a firm's costs depend on the output of its factors. If we want to know precisely what a firm's cost curves will be, we need to know two pieces of information: (a) how its output varies with the amount of each factor it uses; (b) the price of those factors. Let us take a simple production function (column (3)). Assume that a firm uses just two factors: capital and labour. Also assume that capital is fixed in supply at 5 units (column (1)) and costs $60 per unit per week. Also is assumed that that workers are paid a wage rate of $100 per week1.1. Calculate for the different levels of output shown in column (3), the weekly: a) Fixed and variable and total costs (5p) b) Average fixed and variable costs (5p) C Marginal costs (5p) 1.2. Draw a graph showing the AFC, AVC, AC and MC curves corresponding to the figures in the above table. (10p) 1.3. Calculate a new set of figures for each of the columns (4) - (10) if (a) the price of capital rose from 260 to $100; (5p) (b) the wage rate rose from $100 to E 150 (5p) Why in the case of (a) is the marginal cost not altered? (10p)

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