You are thinking about setting up a lemonade stand. The stand itself costs $200. The ingredients for
Question:
You are thinking about setting up a lemonade stand. The stand itself costs $200. The ingredients for each cup of lemonade cost $0.50.
a. What is your fixed cost of doing business? What is your variable cost per cup?
b. Construct a table showing your total cost, average total cost, and marginal cost for output levels varying from 0 to 10 gallons. Draw the three cost curves.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (16 reviews)
a The fixed cost of setting up the lemonade stand is 200 ...View the full answer
Answered By
Susan Juma
I'm available and reachable 24/7. I have high experience in helping students with their assignments, proposals, and dissertations. Most importantly, I'm a professional accountant and I can handle all kinds of accounting and finance problems.
4.40+
15+ Reviews
45+ Question Solved
Related Book For
Question Posted:
Students also viewed these Economics questions
-
You are thinking about opening up a bicycle production facility Your equipment will cost 50000 and facility renovations will cost 75000. You estimate that each bicycle will cost you an additional 50...
-
A young boy sets up a lemonade stand on the corner of College Street and Air Park Boulevard, Temperatures in the area climb to 100 during the summer. The intersection is near a major university and a...
-
You are thinking about investing in a fitness facility. The current owner tells you that, based on past experience; the following probabilities apply to someone who visits the facility. The...
-
The following linear systems Ax = b have x as the actual solution and x as an approximate solution. Compute ||x x|| and ||Ax b|| a. 1/2 x1 + 1/3 x2 = 1/63, 1/3 x1 + 1/4 x2 = 1/168, x = ( 1/7 ,1/6)t...
-
Refer to Example 1.1. Produce two more isomorphism's (of course, you must also verify that they satisfy the conditions in the definition of isomorphism).
-
Mahjong, Inc., has identified the following two mutually exclusive projects: Year ______Cash Flow (A) ________Cash Flow (B) 0 ................. -$43,000 ................... -$43,000 1...
-
Define distributed information system architecture and provide an example.
-
Pool Company purchased 90% of the outstanding common stock of Spruce Company on December 31, 2011, for cash. At that time the balance sheet of Spruce Company was as follows: Current...
-
10.2. Option strategies. Consider the option strategies in Example 10.8 including the European call option. Consider the parameters = 0.1, T = 1, and K = 480 as in Example 10.16. (a) Draw the graph...
-
Zugar Company is domiciled in a country whose currency is the dinar. Zugar begins 2017 with three assets: cash of 20,000 dinars, accounts receivable of 80,000 dinars, and land that cost 200,000...
-
Consider the following cost information for a pizzeria: a. What is the pizzerias fixed cost? b. Construct a table in which you calculate the marginal cost per dozen pizzas using the information on...
-
Your cousin Vinnie owns a painting company with fixed costs of $200 and the following schedule for variable costs: Calculate average fixed cost, average variable cost, and average total cost for each...
-
Show that : C M 2 (R) given by for a, b R gives an isomorphism of C with the subring [C] of M 2 (R). p(a + bi) = D -b a
-
Briefly explain why the Lorenz curve shown in Fig. 3.15b has the shape it does. Fig. 3.15b b Cumulative Percentage of Family Income 100 - 90- 80- 70- 60- 50 - 40 - 30 - 20- 10 - 01 0 10 20 30 40 50...
-
On November 9, 1991, the Home News of central New Jersey used the bar chart given in the accompanying figure to show quarterly net income or losses for both Ford and GM. (a) Comment on the possible...
-
Use the graphs from questions 3336 to answer the following questions; (a) Which team has the best pass offense? (b) Which team has the best pass defense? (c) Which team has the best rush offense? (d)...
-
On March 14, 1991, the Home News used two pie charts (next column, top) to show (1) the main causes of air pollution in New Jersey and (2) peoples attitudes toward using increased taxes to reduce air...
-
Suppose the Gini coefficient in another country were equal to 1. What would that tell us about income in this country?
-
What must a while loop condition evaluate to?
-
DEPARTMENT DATA EMPLOYEE DATA EmployeeNumber FirstName Mary Rosalie Richard George Alan 3 4 5 7 8 9 855555ES 12 13 14 15 16 17 Create the database tables in SQL or ACCESS: 18 19 20 PROJECT DATA Ken...
-
What is the output of the following application? A. 5 B. 6 C. 8 D. The code does not compile. package stocks; public class Bond { } private static int price = 5; public boolean sell() { if (price...
-
In addition to the clove monopoly discussed in the chapter, Tommy Suharto, the son of Indonesian President Suharto (in office from 1967 to 1998), owned a media conglomerate, Bimantara Citra. In their...
-
China developed gunpowder, paper, the compass, water-driven spinning machines, and many other inventions long before their European counterparts. Yet they did not adopt cannons, industrialization,...
-
a. Sometimes, our discussion of marginal cost and marginal revenue unintentionally hides the real issue: the entrepreneurs quest to maximize total profits. Here is information on a firm: Demand: P =...
-
A bank can either invest money for three months at 4.00% or for nine months at 4.50%. Ignoring actual/360 day count adjustments for the purpose of this question, the three against nine FRA quote the...
-
Shuggy Otis, an executive at Slapfish Corp. (SC) intends to retire in 11 years. SC just announced that it will start depositing $500.00 at the end of each quarter into each of its workers' retirement...
-
On January 1, the Hanover Beverage Company replaced the palletizing machine on one of its juice lines. The cost of the machine was $195,000. The machine's expected life is five years or 480,000...
Study smarter with the SolutionInn App