a. Calculate the output quantity at which AVC is minimized. b. Calculate the value of AVC at

Fantastic news! We've Found the answer you've been seeking!

Question:

a. Calculate the output quantity at which AVC is minimized.

b. Calculate the value of AVC at its minimum point.

c. Calculate the value of marginal cost at the quantity that minimizes AVC.

d. Calculate the estimated values of average variable cost at output levels of 5,000 and 15,000.

e. Calculate the estimated values for marginal cost at output levels of 5,000 and 15,000.

Related Book For answer-question

Microeconomics

ISBN: 978-0132857123

8th edition

Authors: Robert Pindyck, Daniel Rubinfeld

See More Books

Posted Date: Jul 16, 2018 12:51 AM

See More Questions

A smart home is connected to micro grid as well as utility grid. The micro grid consists of solar and wind energy. Solar power plant meet 60% of energy demand of smart home while rest is from wind...
The Finishing Department of Pinnacle Manufacturing Co. prepared the following factory overhead cost budget for October of the current year, during which it expected to operate at a 100% capacity of...
Calculate areas A, B, C and D in Figure 12. Check by calculating A+B+C+D in one integration (3, 9) (2, 4)
Identify each of the equations as representing either a circle, a parabola, an ellipse, a hyperbola, or none of these. (x + 1) 2 + (y + 1) 2 = 2(x + y + 1)
Estimate the limit numerically or state that the limit does not exist. If infinite, state whether the one-sided limits are or - . 21. 23. sin 2x im cos -1 im
What is the purpose of the Joint Conference Committee? Its reports are considered more important or carry weight that is more authoritative. Why?
Orbit Airways bought two used Boeing 707 airplanes. Each plane was worth $$35$ million, but Orbit bought the combination for $$60$ million. How much is Orbit Airways cost of each plane? a....
Hill Corporation is in the leasing business and faces a marginal tax rate of 21 percent. It has leased a building to Whitewater Corporation for several years. Hill bought the building for $150,000...
al Ho is consideri Lavinment that will
The gecko is a reptile with an amazing ability to climb smooth surfaces, including glass. Recent discoveries indicate that geckos stick to smooth surfaces via van der Waals interactions between...
For the figure below, the pulley is a solid cylinder a T m R M mg What is the acceleration (in m/s2) of the block? NOTE: No need to indicate the Sl unit. m = 1.59 kg, M = 0.43 kg, R = 0.15 m. Round...
What cutting-edge research methodologies and technological advancements are revolutionizing our understanding of homeostatic processes, particularly in elucidating molecular signaling pathways and...
On January 1, 2023, Watchtower Corporation granted Emma Freegross, its president, a compensatory stock option plan to purchase 8,000 shares of Watchtower's $10 par common stock. The option price is...
Question 1 [15 marks] The tallest dam in the world is the 1001-ft-high Jinping-1 Dam constructed on the River Yalong in China. Its primary purpose is to generate hydroelectric power. There are...
what ways do interdisciplinary approaches, integrating insights from physiology, biochemistry, biophysics, and mathematics, contribute to unraveling the intricacies of homeostasis and informing novel...
How do multicellular organisms integrate sensory input and respond with precision to environmental cues, orchestrating adaptive physiological responses to preserve internal stability ?
In Problems 7-14, complete the square in x and y to find the center and the radius of the given circle. 7. x + y + 8y = 0 9. x + y + 2x - 4y - 4 = 0 11. x + y - 20x + 16y+ 128 = 0 13. 2x + 2y + 4x +...
Three forces with magnitudes of 70pounds, 40 pounds, and 60 pounds act on an object at angles of 30, 45, and 135, respectively, with the positive x-axis. Find the direction and magnitude of the...
What is Moores law? What is its relevance for embedded system design? What is the design-productivity gap? What is its relevance for embedded system design?
Suppose the long-run total cost function for an industry is given by the cubic equation TC = a + bq + cq2 + dq3. Show (using calculus) that this total cost function is consistent with a U-shaped...
How should a monopsonist decide how much of a product to buy? Will it buy more or less than a competitive buyer? Explain briefly.
Suppose that an industry is characterized as follows: C = 100 + 2q 2 each firms total cost function MC = 4q firms marginal cost function P = 90 - 2Q industry demand curve MR = 90 - 4Q industry...
On July 31, 2020, Magnus's Muffins paid $\$ 18,000$ for business insurance for the next year. Record the entries for the purchase of the insurance by recording it as an expense and then making a...
On November 1, 2020, Freya Albatter's orthodontic office received a $\$ 2,500$ prepayment from a client for dental work to be performed on November 22. The appointment got postponed until January...
On April 1, 2020, you prepaid three months of rent for a total of $\$ 18,000$. Give your adjusting entry to record rent expense at April 30, 2020. Include the date of the entry and an explanation....

a. Calculate the output quantity at which AVC is minimized. b. Calculate the value of AVC at

Question:

Expert Answer:

a Minimum average cost quantity is where MC is equal to AC At quantity 17552076 t... View the full answer

Microeconomics

Students also viewed these economics questions