MCQ: A firm’s marginal cost function, MC=2Q2+50Q and average total cost function, ATC=Q2+50Q+10000. How many units should they produce to achieve the lowest average cost?

Answers

Answer 1

They must produce 100 units to achieve the lowest average cost.

As we know that to achieve lowest average cost the average cost function and marginal cost function must be equal.

That is , MC=ATC

     ⇒   [tex]2Q^{2} + 50Q = Q^{2} + 50Q + 10000\\[/tex][tex]Q^{2}[/tex]

     ⇒    [tex]Q^{2} = 10000[/tex]

     ⇒    Q = 100

So , 100 units must be produced to achive lowest average cost.

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Related Questions

Explain two kind of possible inefficiencies in an economy.... ​

Answers

Possible inefficiencies in an economy are :

inflationEconomic trouble

What is economy?

Economy serves as the production as well as consumption of goods and services.

When there is inflation which brings about high price of goods , the value of money will reduce.

Economy trouble such as one that occur in united state in 1930 can affect economy.

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15) You are
encouraged to manage
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A) Only
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C) Getting
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Answer:

Only going to dept for things you really need and have planned for

How does the standard order of accounts in the general ledger and in adjusted
trial balances facilitate the preparation of financial statements?

Answers

the  standard order of accounts in the general ledger and in adjusted trial balances facilitate the preparation of financial statements help in the knowing the revenue of the company

What is financial statement?

financial statement help in the financial sector to know the profit as well as the loss of the organization.

Hence, with  standard order of accounts in the general ledger and in adjusted trial balances facilitate the preparation of financial statements help to the knowing the revenue of the company

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How do your listening behaviors change in the following situations: A) At a concert, B) In class, C) At the dinner table with your parents, D) In a doctor’s office? What are the distractions and other barriers to listening you might encounter in each setting? What might you do to overcome the barriers to effective listening in each situation?

Answers

A mic malfunctioned at a concert. In class, ambient noise. At the dinner table with your parents, the TV sounds. In a doctor’s office, another patient is shouting at the nurse.

What is listening?

The act of hearing language is referred to as "listening." recognizing speech sounds and turning them into words and phrases.

At a concert, the singer's mic volume is low enough that it creates a barrier in the listening process, but this is overcome by using a speaker. While the teacher is teaching the class, some students are playing in the hallway, which amplifies the sounds. The instructor then keep silence.

Children are preoccupied with watching TV during dinnertime and are not paying attention to their parents. The parents then unplug the TV. While discussing a patient's illness at a doctor's office, another patient is yelling at the nurse. The doctor then closes the door.

As a result, listening barrier create in various situations', but it's overcome.

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Which type of tax is based on the retail price of goods owned, possessed, or consumed within a state that were NOT purchased within the state?

Answers

The type of tax that is based on the retail price of goods owned, possessed, or consumed within a state that were not purchased within the state is known as property tax.

What is a tax?

It should be noted that a tax simply means a compulsory levy that's paid by individuals and businesses to the government.

In this case, the type of tax that is based on the retail price of goods owned, possessed, or consumed within a state that were not purchased within the state is known as property tax.

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An equipment manufacturer makes mixing equipment for the three large bread baking companies. Each company wants to make one small design change to meet its individual needs. The manufacturer can use __________ that makes it possible to custom-design products for small markets with very little increase in cost.

a. CAD/CAM technology b. robotics technology c. production management d. process manufacturing

Answers

The use of CAD/CAM will allow the manufacturer to make custom-design products for small markets with very little increase in cost.

What is the benefit of CAD/CAM?

Its means a Computer-Aided Design and Computer-Aided Manufacturing which are model that made it possible for custom-design products to meet the tastes of small markets with very little increase in costs.

Hence, the use of CAD/CAM will allow the manufacturer to make custom-design products for small markets with very little increase in cost.

Therefore, the Option A is correct.

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