Answer on Microeconomics Question for jay
1. Suppose that the Acme Gumball Company has a fixed proportions production function that requires it to use two gumball presses and one worker to produce 1000 gumballs per hour.
a. Explain why the cost per hour of producing 1000 gumballs is 2v + w (where v is the hourly rent for gumball presses and w is the hourly wage).
b. Assume Acme can produce any number of gumballs they want using this technology. Explain why the cost function in this case would be TC = q(2v + w), where q is output of gumballs per hour, measured in thousands of gumballs.
c. What is the average and marginal cost of gumball production (again, measure output in thousands of gumballs)?
d. Graph the average and marginal cost curves for gumballs assuming v = 3, w = 5.
e. Now graph these curves for v = 6, w = 5. Explain why these curves have shifted.
Unfortunately, your question requires a lot of work and cannot be done for free.
Submit it with all requirements as an assignment to our control panel and we'll assist you.
Need a fast expert's response?Submit order
and get a quick answer at the best price
for any assignment or question with DETAILED EXPLANATIONS!
Questions in this section are answered for free. We can't fulfill them all and there is no guarantee of answering certain question& but we are& doing our best. And if answer is published it means it was attentively checked by experts.
Although if you have serious assignment that requires large amount of work and hence cannot be done for free& you can submit it as assignment and our experts will surely assist you.
Please submit your assignment to our control panel and you'll get price estimation. Price depends on complexity of the task and the deadlineю If you have further questions please fill free to ask them. You can contact us via firstname.lastname@example.org or use live chat on this website
Do I not get a reply
How can I get this answer were can I pay for it