Unit VAssignmentWorksheet

Questions:Useyour responses tothese questions to help you formulate ideas for writing your Unit V Essay.

Question 1:What is the level of profit that is made by Ruby Red Movie Theater if2workers are employed at the concession stand and only 100 items of output are produced(sold)at the concession stand?

Answer:

Question 1a:Should Ruby Red Movie Theater continue to operate the concession stand if only 100concession standitems are being produced(sold)by 2 workers?Why,or why not?

Answer:

Question 2:If Ruby Red Movie Theater wanted to produce(sell)1,290 items from the concession stand,would profit be maximized?Why,or why not?

Answer:

Question 3:At what level of output and labor input are concession stand profits maximized for Ruby Red Movie Theater?What are two ways you could tellifthis was correct from the tabledata?

Answer:

Question 4:How are average total cost and marginal cost related to marginal product and average product?

Answer:

Question 5:What do you notice about marginal revenue and the price ofoutput (average price of concession stand items in this case)?

Answer:

Question 6:What is the maximum level of profit thatcan be generatedfrom concession stand items?

Answer:

.