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The accompanying table describes the relationship between the number of workers hired by a call center each hour and the number of calls the call
The accompanying table describes the relationship between the number of workers hired by a call center each hour and the number of calls the call center can make each hour. The call center has only 1 telephone. The telephone costs the firm $5/hour (regardless of how many calls are made), and each worker is paid $10 per hour. calls Per Hour Number of Telephones Number of Workers Per Hour 1 1 2 2 1 4 6 1 6 16 1 8 22 1 10 24 1 12 If the price of a telephone increases from $5 to $10 an hour and nothing else changes, then Multiple Choice total cost would not change. X marginal cost would increase by $5 at every level of output. O marginal cost would not change. O average total cost would increase by $5 at every level of output._ _ ..,_. ._ ....u.p,....uu.._._k_ ..-.,. _.... For the pizza seller whose marginal, average variable, and average total cost curves are shown in the graph below, what is the prot- ' maximizing level of output and how much profit will this producer earn if the price of pizza is $0.25 per slice? Instructions: In the graph below, label all three curves by clicking on the dropdown to select the appropriate label. Then, indicate the protemaximizing level of output on the graph. Your Graph Score: 100% Cost Curves Sample Answer 3.50 a o 9 3.25 3.00 2.75 2.50 @225 3; 2.00 31.75 g 1.50 E 1.25 1.00 0.75 0.50 0.25 a) m .m :m m m :r. m. m Click to enlarge 100 200 300 400 500 600 700 800 900 Quantity (sliceslday) Instructions: Enter your response as a whole number If you are entering a negative number, be sure to include a negative sign (). At the profit-maximizing level of output. the producer's prot is: $ -100 0 per day
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