Please provide work/ explanations I have no idea how to do some of these questions 1. Suppose a farmer has a fixed resource of 80 acres planted in corn. If the farmer does not cultivate the cornfield (clear the weeds) at all, the yield will be 40 bushels per acre. If he cultivates the land once, output may rise to 50 bushels per acre. A second cultivation may increase output to 57 bushels per acre, a third to 61, and a fourth to 63. a. What will succeeding cultivations will do? b. Why not just keep adding fertilizers and harvesters? c. Give another agriculture related example that will fit this concept.

2. Have you ever driven by a poorly maintained business facility and wondered why the owner either fix up the property or go out of business? Consider the story of the Still There Motel on Old Highway North, Anytown, USA. a. Which of the following cases might apply to this motel? i. P > ATC making positive profit ii. P = ATC making zero profit (Break-even point) iii. P > AVC and P < ATC covering AVC and some of AFC iv. P = AVC cover only AVC and none of AFC v. P < AVC (shut-down point)

b. Explain why? 3. The marginal-cost curve first declines and then increases because of a. Increasing, then diminishing marginal utility b. The decline in the gap between ATC and AVC as output expands c. increasing, then diminishing marginal returns d. constant marginal revenue

4. The vertical distance between ATC and AVC as output expands is a a. marginal cost b. total fixed cost c. average fixed cost d. economic profit per unit Please, show your answer graphically.

5. When marginal-cost curve lies: a. above the ATC curve, ATC rises b. above the AVC curve, ATC rises c. below the AVC curve, total fixed cost increases d. below the ATC curve, total fixed cost falls Please, show your answer graphically.