Questions
Cost of Goods Sold and Ending Inventory for each of the following methods:

Calculate the following:

Cost of Goods Sold and Ending Inventory for each of the following methods:

a.    FIFO

b.    LIFO

c.     Weighted Average

  Units                    Unit Cost

7/1      Beginning Inventory 100 10

7/5      Purchases                                                     500 15

7/15    Sales                                                              400                             

7/20    Purchases                                                     200 20

In: Accounting

What is the average total cost when producing three units?

Use your knowledge of cost functions to calculate the missed cost data in the accompanying table.

Round your answers to two digits after the decimal.

QuantityMarginal CostFixed CostVariable CostTotal CostAverage Fixed CostAverage Variable CostAverage Total Cost
0






1




$40.00
2

$68.00



3$105.00




???
4
$20.00
$400.00


What is the average total cost when producing three units?

In: Economics

Consider the following data on the quantity of production and its cost (in dollars) for a...

Consider the following data on the quantity of production and its cost (in dollars) for a particular customized component, for each of 10 weeks.

                                             NumberProduced                              Cost

                                                     16                                             207.17

                                                       6                                               90.93

                                                     18                                             227.22

                                                     10                                             153.61

                                                     13                                             155.97

                                                       3                                               68.24

                                                       9                                             112.00

                                                     16                                             185.77

                                                     20                                             260.48

                                                       5                                               80.62

a.   Find the usual statistical measure for the strength of the association between cost and number produced. Please give both the name and numeric value for your answer.

Name:

Numeric Value:

b.   Find, to the penny, the estimated cost of producing one additional component (this is the “variable cost” or the “variable cost of production”).

Variable Cost:

c.   How well has this variable cost (from part b) been estimated? Please answer by providing a 95% confidence interval for the true variable cost of this production process.

Confidence Interval:

d.   Estimate, to the penny, the cost associated with producing 12 units in a week, assuming the same process from which the data were obtained.

Cost to produce 12 units:

In: Statistics and Probability

What is the average fixed cost of producing 8 units of output?

Quantity
of
Output


Fixed
Cost


Variable
Cost


Total
Cost

Average
Fixed
Cost

Average
Variable
Cost

Average
Total
Cost


Marginal
Cost

1


$23

$33





2


$38






3



$70





4


$64






5



$110





6


$118






7


$143






8



$185





Refer to Table 13-14. What is the average fixed cost of producing 8 units of output?



In: Economics

In order to determine _____, the firm's total cost must be divided by the quantity of...

In order to determine _____, the firm's total cost must be divided by the quantity of its output.

A) fixed cost

B) average cost

C) diminishing marginal returns

D)variable cost

In: Economics

In a market there are 10 sellers and 4 buyers and the opp cost for seller...

In a market there are 10 sellers and 4 buyers and the opp cost for seller is $3.00 and opp cost for the buyer is $10.00. Then what will be the price that trade will take place at? Explain why. What will a price that buyers will say NO to (if any)? What will be a price that seller will say NO (if any)?

In: Economics

the cost of repairs to business property: a. must be capitalized if the repairs maintain the...

the cost of repairs to business property:
a. must be capitalized if the repairs maintain the working condition of the property
b. must be capitalized if the repairs substantially improve the asset
c. must be expensed if the repairs materially prolong the life of the asset
d. must be expensed in the year paid

In: Accounting

In a 10q + q2 and a marginal cost curve of M C = 10 +...

In a 10q + q2 and a marginal cost curve of M C = 10 + 2q if it produces a positive quantity of output q. The market price is $50. Which statement is true?

  1. (a) Each firm produces 20 units of output; the industry will require entry to reach its long-run equilibrium

  2. (b) Each firm is producing 25 units; as the firm is making short-run profits the industry is not at its long-run equilibrium

  3. (c) Each firm produces 20 units of output; the market is in its long-run equilibrium

  4. (d) Each firm is producing 20 units; the firm will continue producing in the short run but will consider exiting in the long run as it is not covering its total costs of production

  5. (e) Each firm is producing 25 units; the firm is covering its variable costs, but making a short run loss

In: Economics

Cost of Competitive Firm In Stockholm, there is a competitive market for the production of canopy...

Cost of Competitive Firm

In Stockholm, there is a competitive market for the production of canopy beds. Max’s canopy bed production firm can make at most six canopy bed’s per week.

Quantity

Fixed Cost ($)

Variable Cost ($)

Total Cost ($)

Marginal Cost ($)

0

0

5000

---

1

5000

2000

2

6000

3

6000

4

8000

5

35000

6

42000

Complete the four cost columns in the table above.

If the market price of pianos is $6000 this week, how many canopy beds should Max’s firm produce to maximise profit?

What would Max’s profit be this week? $

In: Economics

A researcher decides to examine whether there is a correlation between cost of a packet of...

A researcher decides to examine whether there is a correlation between cost of a packet of chocolate chip cookies (rounded to the nearest dollar) and degree of customer satisfaction (on a scale of 1 - 10 with a 1 being not at all satisfied and a 10 being extremely satisfied). A sample of the data is provided below.

Dollars (X)

Satisfaction (Y)

11

6

18

8

17

10

15

4

9

9

5

6

12

3

19

5

22

2

25

10

  1. Create a scatterplot of the two variables
  2. Calculate the Pearson Product Moment Correlation for these data
  3. Interpret the correlation
  4. What is the Coefficient of Determination?
  5. Conduct a hypothesis test for r = 0

In: Statistics and Probability