Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Microeconomics Expert

1. find out price elasticity of demand and supply for the following functions when (a) P=8 and (b) Q=6.

i. P= 40 – 0.5Q

ii. Q= -40 + 0.75P

iii. Q – P + 2 = 0

iv. 2P + 0.2Q = 40

v. P = 20 – 2Q

vi. 4P + 4Q = 64

2. (i) When the demand function is 2Q – 24 + 3P = 0, find the marginal revenue when Q=3.

(ii) Given the demand function 0.1Q – 10 +0.2P + 0.02P2 =0, Compute the price elasticity of demand when P = 10.

(iii) If supply is related to the price the function P = 0.25Q + 10, find the price elasticity of supply when P = 20.

(iv) Given the demand function aQ + bP – k = 0, where a, b and k are positive constants, show that  price elasticity of demand is minus one when MR = 0.

(v) when the demand is P = 20/(4 +Q), find out the price elasticity of demand when P = 4.

3. (i). A firm’s costs are 500 when output is 100. If the TC function is linear and fixed cost (FC) are 200, find the marginal cost when Q = 4, 5 and 6.

(ii). The following are estimates of TC and AC function for various firms. Compute the MC function in each case and say whether, or under what conditions, the MC function is economically meaningful.

(a). AC = 20/Q + 3 + 0.5Q

(b). AC – 2 = 100/Q + 0.2Q2 = Q3

(c). TC – 100 – 2Q  + 2Q2 = Q3

(d). A.AC = a + bQ – cQ2 + gQ3

Where a, b and c are constants.

Given the MC when Q = 4 for (a), (b) and (c).

4. The following are AC and TC functions for various firms

(i). AC = 140/Q + 20

(ii) AC – a/Q = k

(iii) TC – 10 =2Q + 0.1Q2

(iv) TC – k – βQ = cQ2

Where a, k, β and c are positive constants.

(a) Find the expression for the gradients of the AC functions

(b) For what values of Q will AC be decreasing?

(c) Which functions would give U-shaped AC curves?

5. The market demand function of a firm is given by

4P + Q – 16 = 0

And the AC function takes the form

AC = 4/Q + 2 – 0.3Q + 0.05Q2

Determine the Q which gives:

(a) Maximum revenue

(b) Minimum marginal costs,

(c) Maximum profit

Use second derivative test in each case.

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M91830

Have any Question? 


Related Questions in Microeconomics

Assignmentwhat are the two distinguishing properties of a

Assignment What are the two distinguishing properties of a public good? Explain each in one or two sentences. Give an example of a public good different from any of the examples in your text or my notes. What is the "fre ...

Econ discussionwith everything discussed with this course

Econ discussion With everything discussed with this course, first watch How we can make the world a better place by 2030. Then, offer your considerations as to whether this could work or not. Within your response, provid ...

Questionsexercisesseminar 11nbsp discuss what you

Questions/Exercises Seminar 1 1.  Discuss what you understand by the following: a) the law of demand b) the conditions of demand c) a demand curve d) a normal good e) an inferior good f) a Giffen good G) the law of suppl ...

Desserts by jb case studyjay brown jb to his friends is a

Desserts by J.B Case Study Jay Brown (J.B. to his friends) is a student at the North-west Culinary Institute and specializes in preparing elab-orate desserts. After graduation. J.B. wants to open up a bakery. The bakery. ...

Question 1 a scatter diagram is useful to determine if a

Question 1. A scatter diagram is useful to determine if a relationship exists between two variables. True False Question 2. Consider the following gasoline data: Quarter 1, Year 1, Year 2 1, 150, 156 2, 140, 148 3, 185, ...

Then answer the following questionsin the video it is

Then answer the following questions: In the video, it is mentioned that Whirlpool provides three different types of appliances that vary in the amount of features that are offered. Discuss the product differentiation acr ...

Goal construct a case studyresearch paper that examines a

Goal: Construct a case study/research paper that examines a firm in the U.S. from a microeconomic standpoint and provide suggestions based on your findings. Step 1: Choose a firm for your focus. In addition to picking a ...

Microeconomics assignmentdiscussion forumnote the video has

Microeconomics Assignment DISCUSSION Forum Note: The video has Closed Captioning. To activate it, start the video, mouse over the bottom of the video and click on the CC icon, then select from the menu. This week's discu ...

Assignmentioverview provide an overview consisting of a

Assignment I. Overview: Provide an overview consisting of a brief description of the chosen company, your chosen product or service, and annual sales. II. Macroeconomic Variables For this section, you will utilize macroe ...

Leasing equipmentfor catherine owens onlybullsuggest one

Leasing Equipment For Catherine Owens Only • Suggest one key economic factor that motivates leasing as an option in acquiring an asset. Explain the potential asymmetries that may exist where leasing may be beneficial to ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen