Suppose you manage a perfectly competitive firm your, Ask an Expert

Economics

Suppose you manage a perfectly competitive firm. Your short-run total cost is given by the following: TC=200+2q², where q is the quantity produced by your firm. Given this total cost, the firm's short-run marginal cost is given by: MC=4q

A. If the market price fo your is $100, how many units do you recommend your firm produce in order to maximize profit? What will be the firm's profit at this quantity?

B. What is the minimum market price, below which the firm should shut down production in the short-run?

View complete question

Business Economics, Economics

Category:- Business Economics
Reference No.:- M91721124

Have any Question?Write your Review or question?

Related Questions in Business Economics

What is comparative statics analysis and how does it

What is comparative statics analysis and How does it compare with sensitivity analysis ? What is analysis used in finance, accounting, and statistics?

Suppose a sports team did a study that showed that the

Suppose a sports team did a study that showed that the demand curve for tickets was perfectly inelastic at the capacity of building up to a price of $350 per ticket, at which point it becomes perfectly elastic. 1) Draw a ...

Off the production line there is a 46 chance that a candle

Off the production line, there is a 4.6% chance that a candle is defective. If the company selected 50 candles off the line, what is the standard deviation of the number of defective candles in the group?

The demand fornbspbedspreadsisnbsppnbspnbsp150-4qdthe

The demand for bedspreadsis P ? = 150-4 QD . The supply of bedspreads is P ? = 125+5 QS . What is the equilibrium price of a bedspread and what is the equilibrium quantity of bedspreads?? The equilibrium price is ?$ () ...

Benefits of abating emission mb500-20acost of abating

Benefits of abating emission: MB=500-20A Cost of abating emission: MC=200+5A What are the marginal benefit and marginal cost of abatement at socially efficient level of abatement? What is the net social benefit at the ef ...

Explain how financial leverage at investment banks differed

Explain how financial leverage at investment banks differed from financial leverage at more traditional commercial banks. What is the benefits of this leverage? What are the primary risks associated with financial levera ...

Consider the average home mortgage in new zealand of 283

'"Consider the average home mortgage in New Zealand of $283 000 where the standard deviation of the mortgages is $50 000 and home mortgages are normally distributed. If a home is known to be more than $250 000, what is t ...

The demand for salt is relatively price inelastic while the

The demand for salt is relatively price inelastic, while the demand for pretzels is relatively price elastic. How can you best explain why and elaborate your answer.

A monopolist faces a market demand curve given by py 100 y

A monopolist faces a market demand curve given by P(y) = 100 y. Its cost function is c(y) = y 2 + 20. (a) Find its profit - maximizing output level y and the market price p(y ). (b) Calculate its total revenue, total cos ...

In a survey of 3439 adults 1418 say they have started

In a survey of 3439 adults, 1418 say they have started paying bills online in the last year. Construct a? 99% confidence interval for the population proportion. Interpret the results.

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