principal Economic 101
abumunief
Assignment2.docx
College of Administrative and Financial Sciences
Assignment 2
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Course Name: MICROECONOMICS |
Student’s Name: |
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Course Code: ECON101 |
Student’s ID Number: |
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Semester: 1st |
CRN: |
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Academic Year: 1442-1443 H |
Release Date: 31st October 2021- Deadline: 13th November, 2021 @23:59pm
For Instructor’s Use only
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Instructor’s Name: |
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Students’ Grade: Marks Obtained/ 05 |
Level of Marks: High/Middle/Low |
PLEASE READ THEM CAREFULLY
1. This assignment is an individual assignment.
1. Due date for Assignment 2 is 13/11/2021).
1. The Assignment must be submitted only in WORD format via allocated folder.
1. Assignments submitted through email will not be accepted.
1. Students are advised to make their work clear and well presented. This also includes filling your information on the cover page.
1. Students must mention question number clearly in their answer.
1. Late submitted assignments will NOT be entertained.
1. Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions.
1. All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism).
Submissions without this cover page will NOT be accepted.
Assignment 2 Maximum Marks-05
Question 1
a. Explain the concept of Equilibrium Price in a perfectly Competitive Market and how it is determined? [2 Marks]
b. Calculate the percentage change in equilibrium price if percentage change in quantity demanded is 25%. Price Elasticity of Demand is 1.35 and Price Elasticity of Supply is 1.15. [1 Mark]
Question 2
Calculate the Total Variable Cost, Average Fixed Cost, Average Variable Cost, Average total Cost and Marginal Cost in the table given below (All Cost are given in USD). [2 Marks]
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Labor (No of workers) |
Output (Number of units) |
Total Fixed Cost |
Total Variable Cost |
Total Cost |
Average Fixed Cost |
Average Variable Cost |
Average total Cost |
MC |
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0 |
0 |
150 |
0 |
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1 |
1 |
150 |
100 |
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2 |
5 |
150 |
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25 |
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3 |
8 |
150 |
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37.5 |
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4 |
10 |
150 |
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55 |
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5 |
11 |
150 |
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650 |
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