The table below shows Crystal’s total cost of producing different quantities of tie-dyed t-shirts for a local arts festival. Instructions: Enter your answers as a whole number. a. Complete the marginal cost column in the table. Tie-Dyed T-Shirt Production CostsOutput Total Cost (dollars) Marginal Cost (dollars)0 $15 —1 18 $ 2 20 3 21 4 24 5 29 6 36 b. Graph the marginal cost curve for producing tie-dyed t-shirts. Instructions: Use the tool provided “Marginal Cost” to plot the line point by point (6 points total). Plot from 1 to 6 units of output. c. What is the total cost of producing 5 tie-dyed t-shirts? $ d. What is the marginal cost of producing the 5th tie-dyed t-shirt? $
Question
The table below shows Crystal’s total cost of producing different quantities of tie-dyed t-shirts for a local arts festival. Instructions: Enter your answers as a whole number. a. Complete the marginal cost column in the table. Tie-Dyed T-Shirt Production CostsOutput Total Cost (dollars) Marginal Cost (dollars)0 2 20 3 21 4 24 5 29 6 36 b. Graph the marginal cost curve for producing tie-dyed t-shirts. Instructions: Use the tool provided “Marginal Cost” to plot the line point by point (6 points total). Plot from 1 to 6 units of output. c. What is the total cost of producing 5 tie-dyed t-shirts?
Solution
a. The marginal cost is the cost of producing one additional unit. It can be calculated by subtracting the total cost of producing the previous unit from the total cost of producing the current unit. Here's how you calculate it for each unit:
- For the first t-shirt, the marginal cost is 15 = $3.
- For the second t-shirt, the marginal cost is 18 = $2.
- For the third t-shirt, the marginal cost is 20 = $1.
- For the fourth t-shirt, the marginal cost is 21 = $3.
- For the fifth t-shirt, the marginal cost is 24 = $5.
- For the sixth t-shirt, the marginal cost is 29 = $7.
So, the completed table is:
Tie-Dyed T-Shirt Production Costs Output Total Cost (dollars) Marginal Cost (dollars) 0 18 20 21 24 29 36 $7
b. To graph the marginal cost curve, plot the number of units produced on the x-axis and the marginal cost on the y-axis. Then, plot a point for each unit of output at its corresponding marginal cost. Connect the points with a line to form the curve.
c. The total cost of producing 5 tie-dyed t-shirts is $29.
d. The marginal cost of producing the 5th tie-dyed t-shirt is $5.
Similar Questions
The table below shows the total cost and marginal cost for Chrissy's Costumes, a perfectly competitive firm producing different quantities of children's costumes. The market price of costumes is $12.00. Chrissy's Costs of ProductionQuantity (costumes) Average Total Cost (dollars) Marginal Cost (dollars)100 $8.00 $7.50200 7.50 6.50300 7.00 7.00400 9.00 12.00500 12.00 15.00600 15.00 17.00 Instructions: Enter your answers as a whole number. a. If the market price is $12.00 per costume, how many costumes should Chrissy's Costumes make? costumes b. If the market price for costumes falls to $7.00 per costume, how many costumes should Chrissy's Costumes make now? costumes
Consider the following table that describes the total cost of producing dresses by Shirley, a local fashion artist. Dresses Total cost ($)0 501 802 1053 1404 1805 2256 2757 350 Assume that the market is competitive and the price of dresses is $73. At this price how many dresses should Shirley produce to maximise profit? (If Shirley is indifferent between producing an additional dress and not producing, please assume that she will produce the additional dress to break the tie.)
The table below shows the production cost information for Raincoat, Inc. Raincoat, Inc. Production CostRaincoats Total Cost Marginal Cost0 $50.00 -1 $55.00 $5.002 $57.50 $2.503 ? $5.00 What is the total cost of production associated with the 3rd3rd raincoat?Multiple choice question.$2.50$62.50$60.00$5.00
Refer to the table below. The marginal cost of the third unit of output is: Output Total fixed cost Total variable cost Average variable cost0 200 0 1 200 50 $50.002 200 90 45.003 200 120 40.004 200 160 40.005 200 220 44.00Multiple Choice$30.$40.$45.$50.
The table given below shows the price of the product according to the quantity of the product produced. Quantity Price 5 $156 $157 $15 In the above table, if the quantity sold by the firm rises from 5 to 6, its marginal revenue is$15$75$90$30
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.