Question

Question 5 1 pts Case 1. Suppose a coffee shops only variable input is labor. When 20 workers are hired, the average product


01 Question 6 1 pts Refer to Case 1. When 20 workers are hired, the average variable cost is $_ O 0.5 O 0.8 1.0 1.2 Question
O 1.2 Question 7 1 pts Refer to Case 1. When 20 workers are hired, the average total cost is O increasing O decreasing O at i
0 0
Add a comment Improve this question Transcribed image text
Answer #1

Q5

Answer

MC=wage /marginal product

MC=200/200=$1

Option 4

=============

Q6

Average variable cost =wage/average product

=200/250

=0.8

Option 2

=========

Q7

Answer

Average fixed cost =total fixed cost/total output

Total output =AP*L=250*20=5000

AFC=1000/5000=0.2

Average total cost =AFC+AVC

=0.2+0.8

=$1

ATC=MC at the output so the ATC is at its minimum

Option 3

Add a comment
Know the answer?
Add Answer to:
Question 5 1 pts Case 1. Suppose a coffee shop's only variable input is labor. When...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Question 5 1 pts Case 1. Suppose a coffee shop's only varlable input is labor. When...

    Question 5 1 pts Case 1. Suppose a coffee shop's only varlable input is labor. When 20 workers are hired, the average product of labor is 250 (cups/worker), and the marginal product of the 20h worker is 200 (cups/worker). The price of labor is $200 per worker. The cost of all foced inputs is $1000, Refer to Case 1. When 20 workers are hired, the marginal cost of coffee is $ per cup e 05 o 08 Question 6 1...

  • Question 5 1 pts One would expect to observe diminishing marginal product of labor when O union workers are told to red...

    Question 5 1 pts One would expect to observe diminishing marginal product of labor when O union workers are told to reduce their work effort in preparation for a new round of collective bargaining talks. O workers are discouraged about the lack of help from other workers. O crowded office space reduces the productivity of new workers. O only new workers are trained in using the most productive capital. Question 6 1 pts Diminishing marginal product suggests that the marginal...

  • 9:08 1 Exit Question 3 2 pts Average variable costs equal total variable costs divided by...

    9:08 1 Exit Question 3 2 pts Average variable costs equal total variable costs divided by marginal costs. total variable costs divided by output. the change in marginal costs from producing another unit of output. O output divided by the change in total costs. Question 4 2 pts Suppose that one worker can produce 15 cookies, two workers can produce 35 cookies together, and three workers can produce 65 cookies together. What is the average product of the first two...

  • For a home health care provider, labor is the only variable input. The following table shows...

    For a home health care provider, labor is the only variable input. The following table shows the relationship between the number of workers and the number of health care visits that can be provided in a day. Each worker is paid $200 per day. Fled costs are $400 per day. workers #visits 3 pts 3 pts a ccording to the information from question equal to average variable cost at an output of 6 visits is O $3.33 $12.000 51333 O...

  • Suppose that for a particular firm the only variable input into the production process is labor...

    Suppose that for a particular firm the only variable input into the production process is labor and that output equals zero when no workers are hired. In addition, suppose that when the firm hires 2 workers, the total cost of production is $2,000. When the firm hires a total of3 workers, the total cost of production is $2,500. In addition, assume that the variable cost per unit of labor is the same regardless of the number of units of labor...

  • Table 13-1 Number of Workers Total Output Marginal Product 140 6. Refer to Table 13-1. What is total output when 2...

    Table 13-1 Number of Workers Total Output Marginal Product 140 6. Refer to Table 13-1. What is total output when 2 workers are hired? a. 15 b. 45 c. 75 d. 120 et de 7. Refer to Figure 13-2. If the figure represented production at a cookie factory, the factory would be experiencing a. diminishing marginal product of workers b. diminishing marginal cost of cookie production c. decreasing cost of cookie production d. decreasing output of cookies. Wose Jan started...

  • Question 1 1 pts Labor Total product Marginal (workers per day) (units per day) product 2...

    Question 1 1 pts Labor Total product Marginal (workers per day) (units per day) product 2 8 12 3 5 In the above table, the marginal product of the second worker is 3 5 Oo oo Question 2 1 pts Labor Total product |(workers per day) (units per day) 0 0 2 Marginal product 0 2 8 3 12 T In the above table, the total product that can be produced with four workers is O 16 Ο Ο Ο...

  • Suppose that a firm has only one variable input, labor, and firm output is zero when labor is zero

    Suppose that a firm has only one variable input, labor, and firm output is zero when labor is zero. When the firm hires 6 workers it produces 90 units of output. Fixed cost of production are $6 and the variable cost per unit of labor is $10. The marginal product of the seventh unit of labor is 4. Given this information, what is the total cost of production when the firm hires 7 workers?$66, $76, $906, $946

  • Question 55 1 pts If the value of the marginal product of labor exceeds the wage,...

    Question 55 1 pts If the value of the marginal product of labor exceeds the wage, then the firm could increase profit by hiring additional labor. increase profit by reducing the amount of labor hired. increase revenue by lowering output. O reduce total cost by hiring additional workers. Question 56 1 pts Diminishing marginal product suggests that

  • Quiz Instructions Question 32 5 pts If output is 20 when two workers are employed and...

    Quiz Instructions Question 32 5 pts If output is 20 when two workers are employed and 27 when three workers are employed, then: all of the above are true. the marginal product of the third worker is 7 units of output. average product is 9 when three workers are employed, for the third worker, marginal product is less than average product. • Previous Next

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT