10 20A new production technology for making vitamins is invented by a college professor who decides not to patent it. Thus, it is availablefor anybody to copy and use. The TC per bottle for production up to 100,000 bottles per day is given in the following table.Output25,00050,00075,000100,000TC$100,000.00120,000.00125,000.00130,000.00ATCInstructions: In part a, round your answers to 2 decimal places. In parts c and d, enter your answers as a whole number.a. What is ATC for each level of output listed in the table? Enter your answers in the table above.b. Suppose that for each 25,000-bottle-per-day increase in production above 100,000 bottles per day. TC increases by $5,000 (sothat, for instance, 125,000 bottles per day would generate total costs of $135,000 and 150,000 bottles per day would generate totalcosts of $140,000). Are there economies of scale at all levels of output?(Click to select)c. Suppose that the price of a bottle of vitamins is $2.33. At that price, the total quantity demanded by consumers is 75,000,000bottles. How many firms will be in this industry?firm(s)d. Suppose that, instead, the market quantity demanded at a price of $2.33 is only 75,000. How many firms will be in this industry?firm(s)e. Review your answers to parts b, c, and d. Does the level of demand determine this industry's market structure?(Click to select)

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put 00 200 000 000 TC $100,000.00 120,000.00 125,000.00 130,000.00 ATC ans: In part a round your answers to 2 decimal places. In parts c and d, enter your answers as a whole ATC for each level of output listed in the table? Enter your answers in the table above. e that for each 25,000-bottle-per-day increase in production above 100,000 bottles per day, TC increm stance, 125,000 bottles per day would generate total costs of $135,000 and 150,000 bottles per day - 140,000). Are there economies of scale at all levels of output? to select) we that the price of a bottle of vitamins 52.22

put 00 200 000 000 TC $100,000.00 120,000.00 125,000.00 130,000.00 ATC ans: In part a round your answers to 2 decimal places. In parts c and d, enter your answers as a whole ATC for each level of output listed in the table? Enter your answers in the table above. e that for each 25,000-bottle-per-day increase in production above 100,000 bottles per day, TC increm stance, 125,000 bottles per day would generate total costs of $135,000 and 150,000 bottles per day - 140,000). Are there economies of scale at all levels of output? to select) we that the price of a bottle of vitamins 52.22

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter7: Proudction Costs

Section: Chapter Questions

Problem 6SQ

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