Zuestion 1: The following table shows II Bean's production function for coffee. a.) Compute and
graph JJ Bean's Average Product (AP) and Marginal Product (MP). b.) If JJ Bean has fixed costs
of $400, each worker is paid $22.00 and each cup of coffee has a variable cost $1.00 (cup and
coffee beans). Calculated for each level of output, except zero, calculate the average variable cost
(AVC), average total cost (ATC), and average fixed costs (AFC). c.) For each level of output,
calculate the JJ Bean's marginal cost (MC). d.) On one diagram, drawJJ Bean's AVC, ATC, AFC
and MC curves. e.) If you were JJ Bean's owner and you wanted to eliminate any excess capacity
how many workers would you hire?.
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Zuestion 1 The following table shows II Beans production f.pdf
1. Zuestion 1: The following table shows II Bean's production function for coffee. a.) Compute and
graph JJ Bean's Average Product (AP) and Marginal Product (MP). b.) If JJ Bean has fixed costs
of $400, each worker is paid $22.00 and each cup of coffee has a variable cost $1.00 (cup and
coffee beans). Calculated for each level of output, except zero, calculate the average variable cost
(AVC), average total cost (ATC), and average fixed costs (AFC). c.) For each level of output,
calculate the JJ Bean's marginal cost (MC). d.) On one diagram, drawJJ Bean's AVC, ATC, AFC
and MC curves. e.) If you were JJ Bean's owner and you wanted to eliminate any excess capacity
how many workers would you hire?
