Vocabulary
a business that is owned by one individual, who makes all the business decisions, receives all of the profits or takes all of the losses of the firm
Sole Proprietorship
Fixed Cost - $10
Variable Cost - $14
What is my total cost?
$24
What is an example of a monopoly in Omaha, NE?
OPPD
MUD
What is the minimum wage in Nebraska?
$13.50
What vocabulary term means that there are not enough resources to satisfy everyone wants and needs?
Scarcity
Firms use this to determine the amount of units produced that must be sold to breakeven with costs
Breakeven Analysis
How do you find total revenue (TR)?
What is the number of sellers within a monopolistic competition?
Many sellers
What is the federal minimum wage?
$7.25
Name two costs that are not money.
What term describes the money made by a firm after subtracting their total costs from their total revenue?
Profit
What is marginal revenue (MR) also known as?
Price
What are the four types of markets?
-Monopoly
-Monopolistic Competition
-Oligopoly
-Pure Competition
The demand for workers is equal to the workers supplied.
What is the formula for demand?
When the price goes down, demand goes up. (Or vice versa)
is the cost of producing an additional unit of a good—that is, the change in total cost that results from producing an additional unit of output
Marginal Cost
Total Cost = $24
Total Revenue = $67
What is my profit?
$43
What is a oligopoly?
A market in which there are few sellers, high barriers to entry, price leadership instead of controls, and all products are the same or slightly different.
If minimum wage is increased, what do some economists believe will happen to teenagers looking for work?
They claim that it could be more difficult for teens to get jobs if the minimum wage is increased.
If a handful of Pizza Huts close around the Omaha area, what will happen to the supply of pizza? Why?
The supply will decrease because the number of sellers has decreased.
Single seller, sells one product without a substitute, high barriers for a business to enter the market
Monopoly
Evelyn is opening a day spa that focuses on pedicures. Her rent is $5000 a month and her equipment rental is $800 a month. She charges $50 per facial and has a variable cost of $13. What is her Breakeven Quantity? How many pedicures does she have to do to make a profit?
157 pedicures
In a monopolistic competition market, where are 5 businesses that I could go to find a glue stick?
Walmart, Target, Dollar Tree, Micheals, Hobby Lobby, ect.
It could be based on the cost of living in those states.
Answers vary. Some examples could be school activities, sports, hanging out with friends or family, sleep