Exam 11: Output and Costs

Use the table below to answer the following questions. Table 11.3.2 -Refer to Table 11.3.2,which gives Tania's total cost schedule.The average total cost of producing 14 teapots is

Suppose a 1-unit increase in labour,from 2 to 3 workers,increases output from 10 to 15 tea cups.The marginal product from the increase in the quantity of labour is

Suppose a firm increases the quantity of labour employed from 5 to 6 workers,and as a result,the firm's total output increases from 100 units to 400 units.The marginal product of the sixth worker is

Refer to Table 11.2.3.The maximum value of marginal product occurs where output equals ________,while the maximum value of average product occurs where output equals ________.

The total output produced with any quantity of labour is equal to the sum of the

As soon as diminishing returns set in,a firm's

Ernie's Earmuffs produces 200 earmuffs per year at a total cost of $2,000 and $400 of this cost is fixed.What is Ernie's total variable cost?

Use the information below to answer the following questions. Fact 11.1.1 January 31, 2008: Starbucks will open 75 more stores abroad than originally predicted, for a total of 975. February 25, 2008: For three hours on Tuesday, Starbucks will shut down every single one of its 7,100 stores so that baristas can receive a refresher course. June 2, 2008: Starbucks replaces baristas with vending machines. July 18, 2008: Starbucks is closing 616 stores by the end of March. -Refer to Fact 11.1.1.The decisions made on ________ are long-run decisions because they ________.

The ATC curve shifts upward if

Sue's Surfboards rents the factory building in which it produces surfboards.The rent is increased by $200 a week.If other things remain the same,the average fixed cost curve ________,the average variable cost curve ________,the average total cost curve ________,and the marginal cost curve ________.

Total cost is $20 at 4 units of output and $36 at 6 units of output.Between 4 and 6 units of output,marginal cost

Which one of the following statements is false?

Plant refers to those factors of production

Which of the following are correct? According to the law of diminishing returns, (1)marginal product eventually rises. (2)marginal product eventually falls. (3)marginal cost eventually rises. (4)marginal cost eventually falls.

Marginal cost equals

The minimum efficient scale is the smallest quantity of output at which

Suppose Honda can triple its production of Civics by tripling its production facility for those cars.This indicates the presence of

When the marginal product of labour is less than the average product of labour,

Which of the following quotes best illustrates the idea of total product?

Suppose a candy manufacturer can triple its production of fudge by doubling its production facility for making fudge.This indicates the presence of