1.) Complete the table below. Here are some useful (but un- needed) hints. Each worker costs $30 to employ. Total cost

Question

1.) Complete the table below. Here are some useful (but un- needed) hints. Each worker costs $30 to employ. Total cost = fixed cost + variable cost Marginal Total Workers Variable Fixed Cost Total Cost Marginal Product Output Cost Cost 0 0 0 60 0 60 0 1 4 4 60 30 90 7.50 2 8 3.75 3 10 4 8 30 What is the average total cost of producing the first four units? Why does marginal cost rise when the fourth worker is employed? If each unit of output sells for $10.00 what is the firms profit if it produces 30 units?

Help In Homework · Accepted Answer

workers Marginal product Total output Fixed cost Variable Cost Total Cost Marginal cost 0 0 0 60 0 60 - 1 4 4 60 30 90 7.50 2 8 12 60 60 120 3.75 3 10 22 60 90 150 3 4 8 30 60 120 180 3.75 Answer : Table showing relevant information : Average total cost for first four units = Total Cost/ Output = 90/4 = 2.25 Answer Marginal cost of 4th worker has been start declining at rapid speed. So, marginal; cost of production has been increased. Profit for selling 30 units of output = Total revenue - Total cost = $300 - $180 =$120

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workers	Marginal product	Total output	Fixed cost	Variable Cost	Total Cost	Marginal cost
0	0	0	60	0	60	-
1	4	4	60	30	90	7.50
2	8	12	60	60	120	3.75
3	10	22	60	90	150	3
4	8	30	60	120	180	3.75