ECO101H1 Lecture 9: Econ Lecture 9.docx
33 views6 pages
Get access
Grade+20% off
$8 USD/m$10 USD/m
Billed $96 USD annually
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
40 Verified Answers
Class+
$8 USD/m
Billed $96 USD annually
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
30 Verified Answers
Related textbook solutions
Related Documents
Related Questions
Gulp and Devour | ||||||||
Output | TR | TC | Profit | AC | Price | MR | MC | Marginal |
Profit | ||||||||
1 | 135 | 100 | 35 | 100 | 135 | 135 | 100 | 35 |
2 | 260 | 200 | 60 | 100 | 130 | 125 | 100 | 25 |
3 | 375 | 300 | 75 | 100 | 125 | 115 | 100 | 5 |
4 | 480 | 400 | 80 | 100 | 120 | 105 | 100 | 5 |
5 | 575 | 500 | 75 | 100 | 115 | 95 | 100 | -5 |
6 | 660 | 600 | 60 | 100 | 110 | 85 | 100 | -15 |
7 | 735 | 700 | 35 | 100 | 105 | 75 | 100 | -25 |
8 | 800 | 800 | 0 | 100 | 100 | 65 | 100 | -35 |
Shady Enterprise | ||||||||
Output | TR | TC | Profit | AC | Price | MR | MC | Marginal |
Profit | ||||||||
1 | 160 | 50 | 110 | 50 | 160 | 160 | 50 | 110 |
2 | 300 | 125 | 175 | 62.5 | 150 | 140 | 75 | 65 |
3 | 420 | 220 | 195 | 75 | 140 | 120 | 100 | 20 |
4 | 520 | 350 | 170 | 87.5 | 130 | 100 | 125 | -25 |
5 | 600 | 500 | 100 | 100 | 120 | 80 | 150 | -70 |
6 | 660 | 675 | -15 | 112.5 | 110 | 60 | 175 | -115 |
7 | 700 | 875 | -175 | 125 | 100 | 40 | 200 | -160 |
8 | 720 | 100 | -380 | 137.5 | 90 | 20 | 225 | -205 |
What is the profit-maximizing output for each case? Show that three criteria are equivalent: marginal cost equals marginal revenue, maximum profit, and marginal profit equals zero.
Based on your knowledge of the definition of the various measures of short-run cost, complete this table:
Q |
TC |
TFC |
TVC |
AC |
AFC |
AVC |
MC |
0 |
100 |
100 |
0 |
x |
x |
x |
x |
1 |
275 |
275 |
|||||
2 |
265 |
||||||
3 |
160 |
||||||
4 |
85 |
||||||
5 |
525 |
||||||
6 |
120 |
||||||
7 |
95 |
||||||
8 |
770 |
||||||
9 |
95 |
||||||
10 |
125 |