"Industry organization Agri SA has expressed concern about rising input costs in the agricultural sector, echoing concerns raised by the Agricultural Business Chamber (Agbiz) earlier this week. Agri SA says the cost of direct materials, labour and other overheads are particularly worrying, while Agbiz mentioned how fuel costs are gnawing at agribusiness' profitability". Sunshine markets is producing and selling sweet potatoes and they have been impacted by the rising costs. O (A) (C) D'a a) A b) B c) C d) D O (B) D²Q Zoo Da (D) $1 h If sweet potatoes and potatoes are substitute products, which diagram above illustrates the effect on the sweet potato market of a decrease in the price of potatoes?
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- Are there fixed costs in the lung-run? Explain briefly.Do you think that the taxicab industry in large cities would be subject to significant economies of scale? Why or why not?The tapie pelow Cotains pricerdemand and total cOSt data Tor the production of treadmilis, where p is the wholesale price (in dollars) of a treadmill for an annual demand of x treadmills, and C is the total cost (in dollars) of producing x treadmills. p ($) C ($) 2,910 1,450 3,634,000 3,415 1,275 3,782,000 4,645 1,123 4,185,000 5,330 918 4,290,000 Use this data to find a linear regression equation for price-demand data, using x as the independent variable: p= ax + b, where a is rounded to 1 decimal place and 6 is rounded to the nearest integer. Use this data to find a linear regression model for the cost data, using x as the independent variable: C(x) = cx + d, where c is rounded to the nearest integer and d is.rounded to the nearest 10,000. To Do Notifications Dashboard Calendar
- (40 marks) Coffee World has the following cost schedule for the production of coffees per day. Each labor can be hired for BDT 25 and the fixed input costs 1. BDT 25. Quantity of Capital Quantity of Output Quantity of Labor 4 10 3 3. 13 3 4 15 3 5 16 a) "The above production schedule shows that the firm is producing in the long run because quantity of labor can be changed." Explain why this statement is false. b) "In production, short run is a smaller period than the long run, for example, if the long run is 12 months then the short run should be less than 12 months". State why this statement is incorrect. c) Calculate marginal product of labor, fixed costs, variable costs, average fixed costs, average variable costs, average total costs and marginal costs, for all quantities, in a table. d) Sketch a typical LRATC and show all the important areas and points on it and show where the firm should produce.Consider the input output table below Table (Inter) final Total (Agric) (Manuf) (Mining)demand (Inter) Agric 106 47 180 898 1231 Manuf 75 32 80 1167 1354 Mining 31 115 100 977 1223 PrimaryLabour 949 760 363 Capital 70 400 500 where: (Agric = Agriculture),( Manuf = Manufacturing),(Inter = !3! %3D Intermediate) A. Calculate the input coefficients and fill in the appropriate spaces in the table below. Use four (4) decimal places. Agric (Manuf) (Mining) Agric Manuf Mining Labour CapitalQuestion 3 Consider a corn farmer with one acre of land. In addition to land, other factors include quantity of seeds, fertilizer, water, and labor. Assume the farmer has already decided how much seed, water, and labor he will be using this season. He is still deciding on how much fertilizer to use. Units of Fertilizer Total Ears of Corn Marginal ears of Corn 1 100 2 250 3 425 4 550 5 600 6 525 (a) Determine the marginal ears of corn and complete the table. (b) At what point does diminishing returns set in for the farmer? Justify your response.
- 2/4 class 2 revenue Microsoft PowerPoint View Text Direction Shape Fitl Shape Outline u6ite -Convert to SmartArt Arrange Quick Styles Drawing Shape Effects Paragraph The following table presents the price, cost and production of Samsung mobile company in 2020. In the short run, the price of the commodity is Rs.4.00 that is fixed by management. Answer the following questions by using the data given from the management. •By using these data table, calculate the company's other costs such as Average Fixed Cost (AFC), Total Cost (TC), Marginal Cost (MC), Average Cost (AC), Variable Cost (VC), Average Variable Cost (AVC), Total Revenue (TR), Marginal Revenue (MR), Average Revenue (AR) and profit (n). •Find out the breakeven point and indicate the equilibrium quantity and price for the company. •Draw diagrams for AFC, AVC, AC, MC, TC, TR, MR and AR of the Samsung mobile company. Quantity Total Cost Variable Cost 21 Rs.28 Rs.110 Rs.64 6. Rs.144 8. Rs.104 10 Rs.192 13. 2. Rs 264 Rs.162 1. 22…. A major cattle feeding operation has entered into a firm commitment to buy 100,000bushels of corn to be delivered to its feed lot in Kansas. The corn is expected to be delivered in90 days. The company is committed to pay $1.50 per bushel. If corn yields are greater thanexpected, the price of corn could decline and the company would experience higher operatingcosts than necessary as a result of the commitment.In order to protect itself against falling corn prices, the company purchased an option to sellcorn in 90 days at a strike price of $1.51 per bushel delivered to a facility in Nebraska.1. Assume that at the time of acquiring the put option, the price of corn was more than $1.51.Explain why the option had a value of more than zero at inception.2. Assume that one of your colleagues made the following comment: ‘‘An option can neverhave a negative value; therefore, you can never lose money on an option.’’ Discuss whetheror not you agree with your colleague.3. Assuming that only the…The diagram to the right displays short-run cost curves for a facility that produces liquid crystal display (LCD) screens for cell phones. a. What are the daily total fixed costs of producing 300 LCD screens? $ nearest penny.) (Round your answer to the ··· screen) Costs (dollars per LCD s 12.00- 11.00- 10.00- 9.00- 8.00- 7.00- 6.00- 5.00 25 4.00 3.33 5.00 4.25 ‒‒‒‒‒‒ 3.00- 2.00- 1.00- 0.00- 0 200:300 AVC + 200 400 600 800 Output (LCD screens per day) AFC 1000 Q Q
- Accounting Complete the table and Graph the cost curves: Output (Q)/day Total Variable costs ($) Total costs (TC) ($) Marginal costs (MC) ($) Average Total costs (ATC) ($) Average Variable costs (AVC) ($) 0 0 635 -- ---- ---- 1 50 2 100 3 150 4 200 5 300 6 400 7 500 8 650 9 800 What is the dollar value of the fixed costs in this example? Why do marginal costs, average variable costs, average total cost have a “U” shape? That is, why do they start out high, get lower, and then higher again? For 7 units of output, what is the average fixed cost? Why does average fixed cost fall as a firm produces more of a good?If you were a taxi driver, the daily revenue and cost are as the following: Revenue: $250 Variable cost (gas, your labor…): $190 Mortgage payment for car: $70 License Fee: $30 For profit maximization, will you operate your taxi business today? What is the minimum daily revenue to keep the operation in the short run? What is the minimum daily revenue to keep the operation in the long run? Please show calculation formula and/or equation.0 Labo capit total Labors ur al product $20 FC 5 15 1 10 1 1 1 20 1 Question 6 Mr-Ali Alawi recently set a shoe manufacturing outlet. He is planning for production demand, labor requirement, fixed cost, variable cost, the revenue. He come up with the following schedule. Help him to fill up the schedule. Initially he plans to use one machine. Total fixed cost per month is expected to be $1000. The unit cost of labor is estimated to be $20. 0 25 75 100 VC=# of 150 0 100 200 300 1000 total Cost(FC+VATotal cost/ C) 100 1000 120 1000 140 1000 160 Marginal cost(MC) 400 1000 180 ATotal Product Total Revenue Profit