Reference no: EM131452143
Assignment
1. Suppose that a small hair styling salon had revenues of $150,000 in a given year. The owner spent $10,000 on utilities, $60,000 on supplies (shampoo, conditioner, hair coloring and other chemicals, etc.), and $50,000 on equipment (mirrors, chairs, scissors, curling irons, etc.), including maintenance. The owner could have earned $50,000 working at another
salon.
a. Calculate the accounting and economic profit for the hair styling salon. Show your work.
b. Based on your answers in part (a), should the owner close this salon or continue with it?
1. "If not for the law of diminishing returns, all the food that the world needs could be grown in a flowerpot." Do you agree, disagree, or agree in part? Suggestion: Think of land as the only fixed factor and fertilizer as the only variable factor. How much food could you grow in the flowerpot if the marginal physical product of fertilizer were constant regardless of the amount used per unit of land?)
2. Data from Betty's Bakery: Fill in the blanks using the relationships between various costs.
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Quantity of cakes
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Fixed Cost
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Variable Cost
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Total Cost
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Average Fixed Cost
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Average Variable Cost
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Average Total Cost
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Marginal Cost
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1
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$13
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$38
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2
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$28
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3
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$70
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4
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$64
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5
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$110
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6
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$108
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7
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$133
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8
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$185
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Based on your numbers, draw diagrams showing the following:
1. FC and AFC against the output
2. AVC and ATC against the output
3. MC against the output.
ECON 2103: Problem Set 4 Prof. Jog 4. Consider the following table of long-run total costs for four different firms:
1. Which firm shows constant returns to scale over the entire range of output? Show your work.
2. Which firm has diseconomies of scale over the entire range of output? Show your work.
3. Which firm has economies of scale over the entire range of output? Show your work.
4. Which firm's long-run marginal cost decreases as output increases? Show your work.
5. Firm 4's efficient scale occurs at what amount of output? Show your work.
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Prepare a presentation about writing resumes
: For this project, you prepare a presentation about writing resumes. This project has been modified for use in SIMnet.
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Difference between the appearance of change and change
: Discuss the difference between the appearance of change and change that has been adopted into the organization culture.
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Define 3d printing discussion at allroad parts
: The Firm, a workout studio in Minneapolis (http://thefirmmpls .com/), realizes more than 15,000 person-visits per month, an average of 500 visits per day.
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Develop a series of written papers
: Throughout this course, you will develop a series of written papers/projects that you will later combine into a complete business plan.
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Compute the accounting and economic profit for the salon
: Calculate the accounting and economic profit for the hair styling salon. Based on your answers in part (a), should owner close this salon or continue with it?
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Analyze the issues that cause the most significant conflict
: 1. While reflecting on Chapter 13, explain and analyze the issues that cause the most significant conflict in your personal life or work environment.
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Eight classes of mechanical hazards
: Compare and contrast each of the eight classes of mechanical hazards. Describe the type of injury that may result from these hazards.
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Determine how actual salaries confirm to established ranges
: MaryAnn Baker works as a data analyst in human relations at a large, multinational corporation. As part of its compensation program, her company defines job.
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Manager handle employee termination to reduce dispute
: How should a human resource manager handle employee termination to reduce dispute? 800 words
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