What do these terms mean??

Question

Consumer Surplus- ??

Total Net Benefit- ??

Total Cost- ??

Variable Cost- ??

Fixed Cost- ??

Answer 1

Consumer Surplus - the difference between what you pay and what you are willing to pay

Total Benefit- Add up all the surplus from all the consumers

Total Net Benefit = total benefit - total cost; or how much more the consumers enjoy the products over how much it cost to make them

Total Cost- all costs to produce

Variable Cost- costs that can change based on production and short term time - like wages, electricity, telephone

Fixed Cost- costs that generally don't change with production - like rent or building costs, property taxes,

Answer 2

Consumer Surplus = The supply is more than the demand in other words there are more to consume than the consumer... there are more things you can buy than the number of buyers...

Total Net Benefits = the benefit over cost and losses in one business. Thats profit and advantage over cost and capital in a business venture.

Total Cost = the sum of all expenses to generate profit. You may add fixed and variable cost to come up with the total cost.

Variable Cost = Cost changing in terms of the dictates of the business or economy. For example : a cost of labor, material or overhead that changes according to the change in the volume of production.

Fixed Cost= cost that does not vary depending on production or sales levels, such as rent, tax, insurance, or interest .

Answer 3

Consumer surplus= is the economic gain accruing to a consumer when they engage un trade; the gain is the difference between the price they are willing to pay (or reservation price) and the actual price. if someone is willing to pay more than the actual price, their benefit in a transaction is how much they saved when they didn't pay that price

Total net benefit= is the difference between net benefits, total benefits and total costs ( net benefits - total benefits - total costs = total net benefits)

Total cost = is what it costs to operate at some particular rate of output; it's not the cost per item, it's the average cost

Variable cost = is the part of the total cost. the part that varies as you produce more or less. producing more adds to variable cost. producing less reduces it

Fixed cost = is the part of the budget that stays the same regardless of whether you produce more or less or even if you don't produce. (example: overhead, rent on buildings and interest on loans are fixed cost.)

Answer 4

Consumer Surplus - left over items you couldn't sell
Fixed Cost - cost of production which you have before you produce an item and doesn't change with the number of items you produce
Variable cost - costs associated directly with the item you produce, and go up accordingly with each item.
Total cost is the sum of fixed and variable

Total Net Benefit? - I've been out of school for 15 years, forgot.

Note: there are different types of fixed and variable costs.

Answer 5

Consumer surplus is the benefit dervied between the value of the good and the actual price paid.

Total Net benefit is the sum of consumer and producer surplus.

Total cost is average cost times quantity sold.

Variable cost is that portion of the total cost function which is dependent upon quantity.

Fixed cost is that portion of the total cost function which is independent of quantity.

Answer 6

Follow this link...it will answer everything

http://www.economist.com/research/Economics/