1.
0 0 - -
1 120 120 120
2 300 150 180
3 500 166 200
4 640 160 140
5 675 135 35
6 710 118 0
2. As more variable resources are added more products are made up until the point where their averafe decreases and even further where less products are made
3. Variable
Fixed
Ficed
Variable
Fixed
Variable
Variable
Variable
Fixed
Variable
4.
500 - - - -
1 500 20 520 500 20
2 500 100 300 250 50
3 500 400 300 166 133
4 500 1100 400 125 275
5. A. yes it is constant
b. yes the law holds.
6.
7. They take the tangent of all the infinite curves
8. Economies of scale happen when-
a. Companies get so large they get discounts on a variety of things such as advertizing, bulk buying of materials and shipping
b. Diseconomies happen when there is a lacka of management and alienation
9. They don’t have their own transportation, little money to spend on advertizing and usually an ineffective production line
10. From 1, 150, 150, 150, 280, 130, 140, 130, 390, 130, etc. (if u actually want to see this, ask me)
11. -30
49*20
50*20
1000*0.05=50
1000-50=950
950-980=-30
12. Because they are covering all their costs even the opp. Cost
13. 1. Investing, 2. Financial 3.normal 4. Sacrifice 5. 15 percent 6. Opp.cost 7. Super normal
14. 1. Management 2. Information 3. 4. Targets 5. Satisficing 6. Growth 7. Management 8. Economies 9. Pricing 10. Share 11. Stake holders 12. Profits 13. Csr
15. Baumol wants to have the most sales and increase revenue but doesn’t think about profits whilst marris, wants to grow as a firm thus making more money in the future. Simon wants to satifice meaning that he wants to cover his costs but not much more
16. Because csr is good advertizing.
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