1. Fill in the table below.
Q
FC
VC
TC
MC
AFC
AVC
ATC
0
20
-
-
-
-
1
1
2
3
3
4
4
12
16. Government Motors can produce cars according to the following schedule.
Labor
Total Product
Average Product
Marginal Product
0
0
-
-
1
?
3
?
2
?
?
4
What is the average product of labor when 2 units of labor are used in production?
(a) 4
(b) 3.5
(c) 7
(d) 1.5
17. Suppose demand is given by the equation QD = 12-3P. What is the price where demand is exactly unitary elastic?
(a) 1
(b) 2
(c) 3
(d) 4
18. When the price of good A is $20, the quantity of good B purchased is 400. When the price of good A is $40, the quantity of good B purchased is 750. Using the midpoint rule, the cross-price elasticity of demand between goods A and B is
(a) -0.91 and the goods are complements
(b) 0.91 and the goods are substitutes
(c) 1.10 and the goods are substitutes
(d) -2.20 and the goods are complements
1. Fill in the table below.
|
Q |
FC |
VC |
TC |
MC |
AFC |
AVC |
ATC |
|
0 |
20 |
- |
- |
- |
- |
||
|
1 |
1 |
||||||
|
2 |
3 |
||||||
|
3 |
4 |
||||||
|
4 |
12 |
16. Government Motors can produce cars according to the following schedule.
|
Labor |
Total Product |
Average Product |
Marginal Product |
|
0 |
0 |
- |
- |
|
1 |
? |
3 |
? |
|
2 |
? |
? |
4 |
What is the average product of labor when 2 units of labor are used in production?
(a) 4
(b) 3.5
(c) 7
(d) 1.5
17. Suppose demand is given by the equation QD = 12-3P. What is the price where demand is exactly unitary elastic?
(a) 1
(b) 2
(c) 3
(d) 4
18. When the price of good A is $20, the quantity of good B purchased is 400. When the price of good A is $40, the quantity of good B purchased is 750. Using the midpoint rule, the cross-price elasticity of demand between goods A and B is
(a) -0.91 and the goods are complements
(b) 0.91 and the goods are substitutes
(c) 1.10 and the goods are substitutes
(d) -2.20 and the goods are complements
