Answer:
B. Equals the change in variable cost divided by the change in output
Explanation:
All those business expenses which are independent on the level of goods or services that the company produces are included in the fixed costs. These include lease and rent payments, insurance, salaries, interest payments etc.
The change in total cost which arises due to the increment in the cost of produced good by one unit is termed as marginal cost.
When fixed cost is not changing, the marginal cost is calculated by dividing the difference in total cost by difference in output.
Answer:
a. Whataburger is not using the optimal cost-minimizaing mix of cashier and kiosks.
b. Whataburger should hire more cashier and rent fewer kiosks in order to improve its mix of inputs and minimize the cost
Explanation:
a. According to the given data we have the following:
Let "C" is a cashier.
"K" is a kiosk
MPC = 48 (Marginal Product of Cashier)
MPK = 32 (Marginal Product of Kiosk)
PC = $15 (cashier can be hired for a wage of $15)
PK = $12 (Kiosk rents for $12)
At optimal cost minimization point, (MPC / MPK) = (PC / PK)
(MPC / PC) = (MPK / PK)
(MPC / PC) = (48 / 15) = 3.2
(MPK / PK) = (32 / 12) = 2.67
Since the (MPC / PC) and (MPK / PK) is not equal. It implies Whataburger is not using the optimal cost-minimizaing mix of cashier and kiosks.
b. We have to use the following:
(MPC / PC) > (MPK / PK)
i.e., 3.2 > 2.67
It means Whataburger hire more cashier and rent fewer kiosks in order to improve its mix of inputs and minimize the cost.
Answer:
C.multiply number of shares outstanding by the price of each share
Answer
The cost of the one pound of the box is $0.974.
Explanation:
As given
Willis Rusch recently purchased a 5-pound box of treats for his dog.
The total purchase price was $4.87 .
i.e
Cost of 5- pound box = $4.87
Thus
Putting the values in the above
= $ 0.974
Therefore the cost of the one pound of the bos is $0.974.
