Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Pls put some effort doing the homework, really appreciated! Units of Labour Total Output TFC TVC TC MC AFC AVC ATC (per day) (per day)
Pls put some effort doing the homework, really appreciated!
Units of Labour Total Output TFC TVC TC MC AFC AVC ATC (per day) (per day) 20 200 40 500 60 1000 80 1320 100 1440 120 1490 140 1530The accompanying table shows the total daily output for a firm producing specially cakes and operating with a fixed amount of capital. The cost of labour is $100 per unit per day and the fixed cost of the capital is $1500 per day. Click the icon to view the table. . . . . . a. Using the information provided, compute all of the short-run costs for this firm and complete the table. Remember to record the marginal costs between the rows indicating total cost. Complete the third, fourth, and fifth columns of the table. Units of Labour Total Output (per day) (per day) TFC TVC TC MC AFC AVC ATC 20 200 40 500 60 1000 80 1320 100 1440 120 1490 140 1530 s120 1490 140 1530 (Round your responses to the nearest cent.) b. Assuming that labour is only hired in increments of 20 units, what is this firm's capacity level of output? per day c. Assuming that labour is only hired in increments of 20 units, at what level of labour employed per day does the firm encounter diminishing marginal productivity of labour? units per day120 1490 140 1530 (Round your responses to the nearest cent.) b. Assuming that labour is only hired in increments of 20 units, what is this firm's capacity level of output? per day c. Assuming that labour is only hired in increments of 20 units, at what level of labour employed per day does the firm encounter diminishing marginal productivity of labour? units per dayStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started