Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

A firm in a purely competitive industry is currently producing a 1000 unir per day at a total cost of $450. if the firm produced 800 units per day, it total cost will be $300, and it it produced 500 units per day, it total cost will be $275. Requirements: (1) what are the firm's ATC per unit at these three levels of production? (2) if every firm in this industry has the same cost structure, is the industry in long-run competitive equilibrium? (3) from what you know about these firms's cost structure, what is the highest possible price per unit that could be exist as the market price in the long run equilibrium? (4) if that price ends up being the market price and if the normal rate of profit is 10 percent , the how big will each firm's accounting profit per unit be?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M968811

Have any Question?


Related Questions in Microeconomics

Market equilibriumdemand qd 20 - 3psupply qs -8 2pdraw

Market equilibrium. Demand : QD = 20 - 3P Supply: QS = -8 +2P Draw the demand and supply curves on one graph and solve for the equilibrium price and quantity

Question paper details a 5-7 page including cover and

Question: Paper Details: A 5-7 page (including cover and reference pages so about 3-5 of actual writing) research paper APA style, 12 pt font double spaced. You must cite at least 2 sources that are from peer-reviewed ar ...

Question last year assume that mcdonalds had a profit of 12

Question: Last year, assume that McDonald's had a profit of $1.2 billion, of which $0.8 billion was earned in foreign countries. Toyota had a profit of $2 billion (converted from yen), of which $0.6 billion was earned in ...

Question consider an economy with the representative

Question: Consider an economy with the representative consumer, representative firm, and government. Suppose that G = 12. The consumer's preferences over the consumption good and leisure are given by the utility function ...

Question corporate officers and directors owe fiduciary

Question: Corporate officers and directors owe fiduciary duties to the corporation. What is a fiduciary relationship? Identify at least two of the fiduciary duties and provide an example of each. The response must be typ ...

Question here are annual values for m2 and for nominal gdp

Question: Here are annual values for M2 and for nominal GDP (all figures are in billions of dollars) for the mid-2000s. Year M2 Nominal GDP 2003 6,055.5 $10,960.8 2004 6,400.7 11,685.9 2005 6,659.7 12,421.9 2006 7,012.3 ...

Question draw a graph that shows a monopolist earning a

Question: Draw a graph that shows a monopolist earning a profit. Be sure your graph includes the monopolist's demand, marginal revenue, average total cost, and marginal cost curves. Be sure to indicate the profit-maximiz ...

Question consider the case of global environmental problems

Question: Consider the case of global environmental problems that spill across international borders as a prisoner's dilemma of the sort studied in Monopolistic Competition and Oligopoly. Say that there are two countries ...

Question the equation describing the evolution of capital

Question: The equation describing the evolution of capital stock per worker in an economy is the following: K t+1 /N-K t /N = sY t /N-dK t /N; where K is capital stock, N labor, Y output, s the saving rate and d the depr ...

Question if workers contribute to their groups investments

Question: If workers contribute to their group's investments and decide on these investments, workers at different stages of their careers may want different types of capital, for example a durable building versus a temp ...

  • 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

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As