a. Graph the three functions (put total product on one graph and


Asked by 6 years ago
389.5k points
  1. The following table shows data for a simple production function.

See below:

Capital (K)

Labor (L)

Total product (TP)

Average Product (AP)

Marginal Product (MP)

10

-

-

10

1

5

5

5

10

2

15

7.5

10

10

3

30

10

15

10

4

50

12.5

20

10

5

75

15

25

10

6

85

14.2

10

10

7

90

12.9

5

10

8

92

11.5

2

10

9

92

10.2

10

10

90

9

-2

  1. Graph the three functions (put total product on one graph and marginal and average products on another.)

  2. Relationships

Class discussion on the relationships among total, average, and marginal costs. Using the same data from the previous exercise and a wage rate specified by the instructor, compute the marginal cost curve based on the marginal products.

The following table shows data for the simple production function used in Question 1. Capital costs this firm $20 per unit, and labor costs $10 per worker. Ive attached the data. Please see attachment Week3DiscussionQuestion2.

  1. Graph your results, putting TFC, TVC, and TC on one graph and AFC, AVC, ATC, and MC on another.

 

  1. Economies of Scale

Class discussion on long-run production, returns to scale, and the corresponding long-run average cost concept of economies of scale.

Please provide responses to the following questions:

A firm experiences increasing returns to scale; that is, doubling all its inputs more than doubles its output. What can be inferred about the firm's short-run costs?

Carefully explain the difference between diseconomies of scale and diminishing returns.

  1. Complete the table (Table 1) below, then draw the following curves:
  • Short-run average product (AP) curve;
  • Short-run marginal product (MP) curve.

 

Table showing the Average and Marginal product of labour for a hypothetical firm

 

Amount of labour( units)

Amount of capital(No. of machines)

Output of parts(Q, hundreds of parts)

Average product (Q/L)

Marginal product(?Q/?L)

5

-

-

1

5

49

49

49

2

5

132

66

83

3

5

243

81


4

5

376

94

133

5

5

525

 

149

6

5

684

114

159

6.6

5

792.59

120.09

 

7

5

847

 

163

8

5

1008

126

161

9

5

1161

 

 

10

5

1300

130

139

11

5

1419

 

119

12

5

1512

126

93

13

5

1573

121

 

14

5

1596

 

23

14

5

1575

105


Use the information from the completed table and the graphs to identify the three stages of production and explain why the firms short run production has only one rational stage of production.

a. Graph
lancer

2 Answers

Answered by 6 years ago
389.5k points

Oh Snap! This Answer is Locked

 a.	Graph the three functions (put total product on one graph and

Thumbnail of first page

Excerpt from file: Economics Tutorial 1. The following table shows data for a simple production function. See below: Capital (K) 10 10 10 10 10 10 10 10 10 10 10 Labor (L) 0 1 2 3 4 5 6 7 8 9 10 Total product (TP) 0 5 15 30 50 75 85 90 92 92 90 Average Product (AP) 5 7.5 10 12.5 15 14.2 12.9 11.5 10.2 9 Marginal

Filename: E2105.pdf

Filesize: 475.4K

Downloads: 6

Print Length: 5 Pages/Slides

Words: 1047

J
Answered by 3 years ago
0 points

Oh Snap! This Answer is Locked

 a.	Graph the three functions (put total product on one graph and

Thumbnail of first page

Excerpt from file: Week3DiscussionQuestion#2 a.Whatarethefourclosingjournalentries?Whyaretheynecessary b.Whatarereversingentries?Whyaretheyused? Whatarethefourclosingjournalentries?Whyaretheynecessary Thefourclosingjournalentriesare: CloserevenueaccountstoIncomesummary ClosetheexpensesaccountstoIncomesummary

Filename: ACC 290 Week 3.zip

Filesize: < 2 MB

Downloads: 1

Print Length: 1 Pages/Slides

Words: NA

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Asked: 6 years ago

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