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).
-
What is an optimum currency area? List the criteria that an optimum currency area must satisfy.
-
Water enters the horizontal, circular cross-sectional, sudden contraction nozzle sketched in Fig. P5.40 at section (1) with a uniformly distributed velocity of \(25 \mathrm{ft} / \mathrm{s}\) and a...
-
The Town of Weston has a Water Utility Fund with the following trial balance as of July 1, 2016, the first day of the fiscal year: During the year ended June 30, 2017, the following transactions and...
-
Hi - Low Ltd has analysed its distribution costs and activity over the past 3 months and these are as follows: Monthly Distribution costs Units sold January 1 6 1 , 0 0 0 5 0 , 0 0 0 February 2 5...
-
Use cost structure concepts (ie fixed costs, variable costs, semi variable costs mixed costs, and step costs step fixed costs) to answer the following questions Suppose the community college wants to...
-
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...
-
In Problems 8792, find a and b. If |x 3| 1, then a 3x + 1 b.
-
Which statement is the most accurate? a) Globalization, on balance, has been very bad for the U.S. economy. b) All the effects of globalization have been very good for the U.S. economy. c) The best...
-
Practical Application: Your school has eight megadorms , each housing 2,000 students. Four different student owned and operated pizza delivery services operate on campus. Each de livers to all eight...
-
In the short run the monopolistic competitor will be ______. a) definitely making a profit b) definitely taking a loss c) definitely breaking even d) either taking a loss or making a profit
-
The main reason why we are the worlds largest debtor nation is __________. a) our military spending b) our trade deficit c) inflation d) high taxes
-
Which statement is the most accurate? a) Since the euro was introduced it has lost almost half its value. b) The euro has facilitated trade among the members of the euro zone. c) The euro is now the...
-
What are the shortcomings of litigation?
-
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 =...
-
According to theknot.com, online dating is the most common way people meet their spouses today. This claim was based on a survey of 1,400 randomly selected recently married couples, with 266...
-
Miller's Hardware plans on saving $40,000, $50,000, and $58,000 at the end of each year for the next three years, respectively. How much will the firm have saved at the end of the three years if it...
-
Wizmo technologies is producing a new kids watch, an electronic gadget for kids to stay connected with their parents. The project requires an initial investment in plant and equipment of 6 million....
Study smarter with the SolutionInn App