(Answered) Problem regarding the supply function change

Economics

Question 1: Suppose Dan's cost of making pizzas isC(Q) = 4Q+ (Q²/40), and his marginal cost isMC= 4 + (Q/20). Dan is a price taker. What is Dan's supply function? What if Dan has an avoidable fixed cost of $10?

Question 2: Consider again Question 1. If Dan's cost increases by $2 per pizza, so that his cost function becomes C(Q) = 6Q + (Q²/40) and his marginal cost becomes MC = 6 + (Q/20), how will his supply function change? Explain your answer and provide examples.

View complete question

Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M91808378
Price:- $10

Verified Expert

Priced at $20 Now at $10, Verified Solution

Have any Question?Write your Review or question?

Related Questions in Microeconomics

Question markets are where people exchange information

Question: Markets are where people exchange information about potential transactions. If so, can advertising create economic value? Explain. Identify some other institutions whose effects on lowering information costs ar ...

Question the darkroom window shade company has 100000

Question: The Darkroom Window shade Company has 100,000 shares of stock outstanding. The investors in the firm own the following numbers of shares: investor 1 has 20,000 shares; investor 2 has 18,000 shares; investor 3 h ...

Question the us legal system generally requires that each

Question: The U.S. legal system generally requires that each party to a civil dispute be responsible for its own legal fees. In England the loser pays the winner's legal fees as well as its own. Do you expect to see more ...

Question the interest rate is 10 percent and you purchase

Question: The interest rate is 10 percent and you purchase the newly issued bond in equation 16.3 for $10,000. After you hold it for 16 years the market interest rate rises to 15 percent. Calculate the change in its pric ...

Question need the following question answershow does the

Question: Need the following question answers: How does the fact that imports vary directly with GDP affect the stability of the domestic economy? How has America been affected by this, and what are some ways that it cou ...

Question how much must you invest now in an account with 8

Question: How much must you invest now in an account with 8% interest compounded monthly to accumulate $1,000,000 in 30 years? The response must be typed, single spaced, must be in times new roman font (size 12) and must ...

Question watch daniel pinks talk in the activatevideo in a

Question: Watch Daniel Pink's talk in the Activatevideo. In a one page paper saved in MS Word, answer the questions below. 1. How might companies provide employees with a purpose motivator to solve problems? 2. What rese ...

Question assume that a 1 change in the inflation rate

Question: Assume that a 1% change in the inflation rate causes a 1% increase in nominal interest rates, which in turn causes a 1% drop in real growth the following year. During the latter half of the 1990s, real growth a ...

Question explain why hong kong and singapore have about the

Question: Explain why Hong Kong and Singapore have about the same growth rates even though the ratio of investment to GDP is twice as high in Singapore as in Hong Kong. The response must be typed, single spaced, must be ...

Question learn about current trends in servant leadership

Question: Learn about current trends in servant leadership by conducting your own research and locating an article that illustrates how the principles of servant leadership are being employed in the workplace, as part of ...

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

Recent Questions

Ask Microeconomics Expert