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Refer to the Following Qd=12010PMCA=4+(1/5)QAMCB=6+(1/10)QB\begin{array} { l } Q _ { d } = 120 - 10 P \\M C _ { A } = 4 + ( 1 / 5 ) Q _ { A } \\M C _ { B } = 6 + ( 1 / 10 ) Q _ { B }\end{array}

question 41

Multiple Choice

Refer to the following.
A firm with two plants, A and B, has the following estimated demand and marginal cost functions:
Qd=12010PMCA=4+(1/5) QAMCB=6+(1/10) QB\begin{array} { l } Q _ { d } = 120 - 10 P \\M C _ { A } = 4 + ( 1 / 5 ) Q _ { A } \\M C _ { B } = 6 + ( 1 / 10 ) Q _ { B }\end{array}
-What is the firm's total marginal cost function?


Definitions:

Manufacturing Overhead

The expenses linked to manufacturing not including direct labor and materials.

Predetermined Overhead Rates

Overhead rates calculated before a period starts by dividing estimated overhead costs by an expected allocation base.

Machine-Hours

A measure of production output or activity based on the number of hours machines are operating in the manufacturing process.

Machining

The process of removing material from a workpiece to shape or finish it using machine tools.

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