Type your homework assignments. Show necessaryreasoning and calculations that lead to your answers.1. Consider the following cost information for a pizzeria:Quantity0 dozen pizzas $3001350239034201445054906540a.Total cost Variable CostSO5090120150190240How much is the pizzeria’s fixed cost?b. I) Calculate the marginal cost per dozen pizzas usingthe information on total cost. II) Also, calculate themarginal cost per dozen pizzas using the informationon variable cost. What is the relationship betweenthese sets of numbers? Comment.Quantity Total cost Variable Cost MC (I) MC (II)0 dozen $300 $013505023909034201204450150154901905402402. You are thinking about setting up a lemonade stand. Thestand itself costs $200. The ingredients for each cup oflemonade cost $0.50.a. How much is your fixed cost of doing business? Howmuch is your variable cost per cup? 2. You are thinking about setting up a lemonade stand. Thestand itself costs $200. The ingredients for each cup oflemonade cost $0.50.a. How much is your fixed cost of doing business? Howmuch is your variable cost per cup?b. Construct a table showing your total cost, average totalcost, and marginal cost for output levels varying from0 to 10 gallons. (Hint: There are 16 cups in a gallon)

Answered: Image /qna-images/answer/f8e16ef3-3e36-4b37-8426-ae2115db6c47.jpg

Type your homework assignments. Show necessary reasoning and calculations that lead to your answers. 1. Consider the following cost information for a pizzeria: Quantity Total cost Variable Cost 0 dozen pizzas $300 SO 1 350 50 2 390 190 3 420 4 450 5 490 6 540 a. 120 150 190 240 How much is the pizzeria’s fixed cost? b. I) Calculate the marginal cost per dozen pizzas using the information on total cost. II) Also, calculate the marginal cost per dozen pizzas using the information on variable cost. What is the relationship between these sets of numbers? Comment. Quantity Total cost Variable Cost MC (IMC (II) 0 dozen $300 SO 1 350 50 2 390 90 3 420 120 14 450 150 5 490 190 6 540 240

Type your homework assignments. Show necessary reasoning and calculations that lead to your answers. 1. Consider the following cost information for a pizzeria: Quantity Total cost Variable Cost 0 dozen pizzas $300 SO 1 350 50 2 390 190 3 420 4 450 5 490 6 540 a. 120 150 190 240 How much is the pizzeria’s fixed cost? b. I) Calculate the marginal cost per dozen pizzas using the information on total cost. II) Also, calculate the marginal cost per dozen pizzas using the information on variable cost. What is the relationship between these sets of numbers? Comment. Quantity Total cost Variable Cost MC (IMC (II) 0 dozen $300 SO 1 350 50 2 390 90 3 420 120 14 450 150 5 490 190 6 540 240

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter12: The Cost Of Production

Section: Chapter Questions

Problem 3CQQ

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