Home /
Expert Answers /
Economics /
6-the-demand-curve-facing-a-competitive-firm-the-following-graph-illustrates-the-market-for-small-pa839
(Solved): 6. The demand curve facing a competitive firm The following graph illustrates the market for small ...
6. The demand curve facing a competitive firm The following graph illustrates the market for small moving trucks in Oviedo, FL, during UCF's fall move-in week. Suppose that Zoomba is one of over a dozen competitive firms in the Oviedo area that offers moving truck rentals. Based on the preceding graph showing the weekly market demand and supply curves, the price Zoomba must take as given is Fill in the price and the total, marginal, and average revenue Zoomba earns when it rents 0, 1, 2, or 3 trucks during move-in week. The demand curve faced by Zoomba is identical to which of its other curves? Check all that apply. Marginal cost curve Marginal revenue curve Average revenue curve Supply curve
3. The relationship between marginal and average costs The following scenario examines the relationship between marginal and average values. Suppose Parker is a high school basketball player. The following table presents their game-by-game results for foul shots. Fill in the columns with Parker's foul-shooting percentage for each game and their overall foul-shooting average after each game. On the following graph, use the orange points (square symbol) to plot Parker's foul-shooting percentage for each game individually, and use the green points (triangle symbol) to plot Parker's overall average foul-shooting percentage after each game. Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically. You can think of the result in any one game as being Parker's marginal shooting percentage. Based on your previous answer, you can deduce that when Parker's marginal shooting percentage is above the average, the average must be You can now apply this analysis to production costs. For a U-shaped average total cost (ATC) curve, when the marginal cost curve is below the average total cost curve, the average total cost must be . Also, when the marginal cost curve is above the average total cost curve, the average total cost must be . Therefore, the marginal cost curve intersects the average total cost curve
Expert Answer
) All of the above. A real appreciation of a country's currency refers to an increase in the currency's value relative to other currencies, adjusted for changes in price levels. In other words, the country's currency becomes stronger compared to foreign currencies in terms of purchasing power.