These Must Be In APA Format Dont Forget Abstract Pageindividual Proje Please use the following information and use it to complete calculations and answer questions in your paper. The paper should be a brief (1-1.5 pages) report including calculations and a short explanation of what the firm should do if it is making a loss. A firm currently employs 40,000 workers to produce 100,000 units of output per day. The daily wage per worker is $80, and the price of the firm's output is $41. The cost of other variable inputs is $400,000 per day, with total fixed costs of $900,000. Assume that output remains constant at 100,000 units daily. Based on this information, calculate the following variables: Total Variable Cost = (Number of Workers x Worker’s Daily Wage) + Other Variable Costs Total Costs = Total Variable Costs + Total Fixed Costs Total Revenue = Price x Quantity Average Variable Cost = Total Variable Cost / Units of Output per Day Average Total Cost = (Total Variable Cost + Total Fixed Cost) / Units of Output per Day Profit/Loss = Total Revenue - Total Costs Using these calculations, determine whether the firm is making a profit or incurring a loss. Explain your reasoning and whether the firm should shut down in the short run based on the shutdown rule. Show your work clearly in your explanation. Be sure to include a reference list in APA format.
Paper For Above instruction The purpose of this report is to analyze the financial standing of a particular firm based on provided operational data and to assess its short-term decision-making regarding potential shutdowns. The calculations herein reveal whether the firm is profitable or facing losses, and discussions are provided to interpret the implications in the context of the short-run shutdown rule. Using the data provided, the first step involves calculating the total variable cost (TVC). The number of workers stands at 40,000, with a daily wage of $80. The variable costs also include an additional $400,000 per day. The formula for TVC is: TVC = (Number of Workers x Wage per Worker) + Other Variable Costs = (40,000 x $80) + $400,000 =