question archive 1) i) Trusts Fisheries is an upcoming fish farmer specializing in the production of red bream
1) i) Trusts Fisheries is an upcoming fish farmer specializing in the production of red bream
Subject:EconomicsPrice: Bought3
1) i) Trusts Fisheries is an upcoming fish farmer specializing in the production of red
bream. The Marketing department has determined the following cost structure
per kilogram of fish produced.
? Variables cost per Kg K15.00
? The fixed costs for period is K20.00
? Selling price per Kg is K25.00
Questions:
a)
Deriver the total cost function and revenue function
(4 marks)
b)
Determine the break-even point in kgs.
(4 marks)
c)
The number of kgs that would give a profit of K4.00
(4 marks)
2. You are given the following total cost function
Find:
a) Average variable costs (AVC) (4 marks)
b) Average Fixed Costs (AFC) (4 marks)
