Exam 11: Output and Costs

Use the figure below to answer the following questions. Figure 11.2.1 -Refer to Figure 11.2.1 which illustrates Tania's total product curve. Which one of the following statements is true?

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

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

If ATC is rising then MC must be

If the total product of four workers is 156 units, calculate the average product of each worker.

At that amount of output where diminishing marginal returns first sets in,

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

In the long run, a firm can vary

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

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 average variable cost?

Use the table below to answer the following questions. Table 11.2.3 -Refer to Table 11.2.3. The value of A is

Suppose the marginal product of energy equals the average product of energy. This implies that

If energy (E)is the only input used to produce output (Q), what is the formula for marginal product of energy?

The long run is a time frame in which

The average variable cost curve will shift upward if

If AFC is falling then MC must be

An increase in the cost of labour shifts the

Choose the correct statement.

The marginal cost (MC)curve intersects the

If capital is a variable input in a production process, the law of diminishing marginal returns implies that