Economics A firm's supply curve is key to economic reasoning. Derive the supply curve of an individual firm in the short and in the long run. To that end, start arguing which assumptions on marginal returns imply a first decreasing and then increasing average variable cost curve, and then make use of shut down conditions. Explain in detail and use appropriate diagrams.

Refer to the to graph on the right. Which level of output in the graph below represents the minimum efficient scale? OA 1,000 books B. 20,000 books C. 40,000 books $22 00 D. 80,000 books 20.00 18.00 Which size bookstore is more likely to expenence diseconomies of scale? Long-nun Average cost O A. Abookstore selling 1.000 books per month B. A bookstore seling 20,000 books per month C. Abockstore selling 40,000 books per month 40,00.000 OD. A bookstore seling 80 000 books per month 1,000 20,000 Quantry of books sold per month

What is the law of diminishing returns? Why does marginal product eventuallydiminish?b. Explain the relationship between marginal product and average product. Lin’s makes fortune cookies. Anyone can make and sell fortune cookies, so thereare dozens of producers. All fortune cookies are the same and buyers and sellersknow this fact. In what type of market does Lin’s operate? What determines theprice of fortune cookies? What determines Lin’s marginal revenue?d. What is the shape of the AFC curve and why does it have this shape?

26. Al Shaihani is a halwa manufacturer which is famous for Omani Saffron Halwa. They wanted to increase their supply of halwa for the coming month of August 2021. However, due to COVID-19 Pandemic, the only available resources they could change are the number of their workers. Determine which type of production period Al Shaihani business is facing? a. Mid-run b. Long run c. All of these d. Short - run

What specific data must a firm examine to decide the quantity of product it should produce to make maximum profit? How will the firm know if it should produce at all? How will the firm know if it mak a an economic profit?

The Mazoon Company paid for the advertisement of their milk and milk products to Oxygen Advertising Agency. Choose the cost incurred by Mazoon company. O a. Production cost O b. Explicit cost O c. All of these O d. Opportunity cost

Refer to the to graph on the night Which level of output in the graph below represents the minimum efficent scale? OA 1,000 books B. 20.000 books C. 40,000 books $22.00 20.00 18.00 D. 80,000 boks Which sire bookstore is more likely to expenence diseconomies of scale? Long -nun Average cost OA Abookstore seling 1,000 books per month B. Abookstore seling 20,000 books per month OC. Abookstore selling 40,000 books per month 1,.000 20.000 Quantity of books sold per month OD. A bookstore selling 80.000 books per month 40,00,000

Calculate economic and accounting profit, and explain the importanceof the difference.

LUSC Method of producing that output The following graph shows the marginal and average product curves for labor, the firm's only variable input. The monthly wage for labor is $2,000. Fixed cost is $120,000. None of these options are correct. APMP 100 80 AO MP 160 40 140 120 100 20 80 60 Labor 40 20 When the firm uses 60 units of labor, what is average total cost at this output? otal th ear- edule and erstanding of on between AVC ie mns 1 and 2 of Table 8.7. The r- n column 3 of Table 8.8. The rela- ws: Consider the 100 units of output riable cost of using 4 workers is found workers employed: ict to 0x4 ise DO00000000 Jog jopipaidjen Bue u pie abes ad

conl This Question: 1 pt in M sign Hom e a The graph shows the average variable cost curve and average total cost curve for a firm that produces candles. Draw the firm's marginal cost curve. Label it. When the marginal cost of producing an output exceeds its average variable cost but is less than its average total cost, OA. total variable cost is at its maximum value OB. average variable cost is increasing while average total cost is decreasing OC. average fixed cost is increasing OD. both average variable cost and average total cost are increasing Click the graph, choose a tool in the palette and follow the instructions to create your graph. APR 97 36 7- 6- 5- Cost (dollars per candle) ATC AVC 10 20 15 Output (candles per day) >>> Draw only the objects specified in the question. 25 30