PROBLEM 4 (QUESTIONS 23 TO 27) TABLE 2 PRODUCTION COSTS PRODUCTION TOTAL TOTAL A

Question

PROBLEM 4 (QUESTIONS 23 TO 27) TABLE 2 PRODUCTION COSTS PRODUCTION TOTAL TOTAL AVERAGE MARGINAL AVERAGE Cost VARIABLE A-? 150 C-? VARIABLE FIXED LEVEL CoST COST COST COST 200 2 B=? 100 250 4 D=? E-? 250 23. The dollar amount of cell A is a) 300; b) 200; c) 100, d) None of these answers 24. The dollar amount of cell B is a) 450 b) 350; c) 150, d) None of these answers 25. The dollar amount of cell C is a) 300; b) 200; c) 100, d) None of these answers 26. The dollar amount of cell D is a) 1100; b) 1000; c) 900; d) None of these answers 27. The dollar amount of cell E is a) 1100; b) 1000; c) 900; d) None of these answers

Explanation / Answer

23.

The dollar amount of cell A is 200.

Hence option b is the correct answer.

24.

The dollar amount of cell B is 450.

Hence option a is the correct answer.

25.

The dollar amount of cell C is 300.

Hence option a is the correct answer.

26.

The dollar amount of cell D is 1100.

Hence option a is the correct answer.

27.

The dollar amount of cell E is 275 but in the given options, this is not given.

Hence option d is the correct answer.

Production leve Total cost Total variable cost total fixed cost Average cost Marginal cost Average variable cost 1 300 200 100 300 A=200 200 2 B=450 350 100 225 150 175 3 750 650 100 250 C=300 216.67 4 D=1100 1000 100 E=275 350 250

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