Economics Answers

In the first quarter of 2020, the economy of South Africa entered a recession. Which of the following best described what you would advice policymakers to do in order to move the economy out of a recession without causing an increase in inflation?

a) a farmer sells cabbages for N$ 10 per head. The farmers variable costs are N$ 2.50 per head and total cost of 100 heads is N$1450.

I) how many cabbages must the manufacturer produce each month to break even?

II) how many cabbages should be produced to make profit

b) Total cost of producing carrot is C(X)=3600+100x+2x^2 and the total revenue function R(x)= 500x-2x^2

I) find the number of kg that maximizes profit

II) find maximum profit

Differentiate what type of return to scale the following production function exhibit and explain your reason

            A. Q=L^0.5 K^0.5                               C. Q = L^0.3 K^0.5

            B. Q=L^2/3 K^2/3                   D. Q=AL^a K^b

On May 11, 1993, a note due on January 10, 1994 was discounted at 12.12% simple discount. Find the exact simple interest rate of 10.75% for one year and 3 months? What is the exact discount rate?

One of South Africa’s cellphone operators, Cell C, is changing their overall business strategy. The focus is now on providing customers with “affordable and accessible services." To do this they need your economic expertise.

They know that when price for premium services increases from R2/minute to R2.2/minute the demand for their services falls from 12 customers to 10 customers.

a. Using the point formula calculate the price elasticity of demand.

Given the totalcost function; TC = 3Q³ - Q² + 150Q +50

A.           What is the fixed cost and what does rt shows?

B.           What is the variable cost function? WhatIs the variable cost at O = 2?

C.           What is the maximum output level at the minimum level of average variable cost

D.           At O = 3 what Is the trend of average cost function (is that increasing or decreasing)? Why?

Find the exact simple interest rate of 10.75% for one year and 3 months? What is the exact discount rate?

A firm wants to minimize cost when Q=160=2√KL ;r=4 k=2
find K and L

Given the total cost function; TC = 3Q³ - Q² + 150Q +50

A.           What is the fixed cost and what does it shows?

B.           What is the variable cost function? What is the variable cost at Q = 2?

C.           What is the maximum output level at the minimum level of average variable cost

D.           At O = 3 what Is the trend of average cost function (is that increasing or decreasing)? Why?