Suppose the price of the output is 16unit instead if the , Ask an Expert

Economics

Estimate the average cost, marginal cost, profits and graph the equilibrium.

Given the subsequent production information of a monopolistic company:
Output level = 100 units
Average variable cost = $10/unit
Total fixed cost = $400

The company is producing at the minimum point of its average cost curve

a) At this output level compute the average cost and the marginal cost.

b) Draw a diagram showing the current situation of the company.

c) In addition to the above information, suppose the price of the output is $13/unit, if the company wants to maximize its profit, illustrate what should it do? describe in detail with the aid of a diagram.

d) Suppose the price of the output is $16/unit instead, if the company wants to maximize its profit, illustrate what should it do? describe in detail with the aid of a diagram.

View complete question

Business Economics, Economics

Category:- Business Economics
Reference No.:- M917401

Have any Question?Write your Review or question?

Related Questions in Business Economics

Given that the heights of adult males show a mean of 69 and

Given that the heights of adult males show a mean of 69" and standard deviation 2.7." A sample of 37 adult males shows a mean of 68.2" and standard deviation of 2.9." 1. Which of the following is a statistic? a) 69" b) 2 ...

Autonomous consumptionnbsp 660marginal propensity to

Autonomous consumption = 660 Marginal propensity to consume = 0.8 Autonomous taxation = 200 Income tax rate = 0.2 Planned investment = 500 Government spending = 500 Autonomous net exports = 300 NX = 0.04 Calculat ...

Question onethe following is the number of first year

QUESTION ONE The following is the number of first year students who selected the three mathematics units for trimester one; Unit Number of students Calculus only 20 Calculus but not Statistics 22 Calculus and Real analys ...

What is the difference between a greenfield investment and

What is the difference between a greenfield investment and an acquisition? Which form of investment is a firm more likely to choose?

In some states allow requires drivers to turn on their

In some states allow requires drivers to turn on their headlights when driving in the rain. A highway patrol officer believes that lesson one-quarter of all the drivers follow this rule. As a test, he randomly samples 20 ...

From a consequentialist perspective that has as its

From a consequentialist perspective that has as its objective improving the standard of living of unskilled workers, is the introduction of a minimum wage ethically justified?

Question 1 the toronto blue jays raises ticket prices from

Question 1: The Toronto Blue Jays raises ticket prices from $100 to $120 per seat and experience a decline in ticket sales from 12000 to 10000 per game. i) What is the elasticity of demand for tickets? ii) Assuming the m ...

Discuss and provide application of concepts of supply and

Discuss and provide application of concepts of supply and demand by identifying two goods and two services you consume at the household or professional level. For each example, you will identify a demand-shifting factor ...

Global warming is related to the concentration of

Global warming is related to the concentration of greenhouse gases in the atmosphere. Once in the atmosphere, gases remain there for long periods of time (centuries). Greenhouse gases include carbon dioxide and methane. ...

For the pastnbsp110nbspyears a certain state

For the past 110 ?years, a certain state suffered 28 direct hits from major? (category 3 to? 5) hurricanes. Assume that this was typical and the number of hits per year follows a Poisson distribution. Complete parts? (a) ...

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 Business Economics Expert