A perfectly competitive firm has total cost function as follow:
TC ($) = 2q2 + 4q + 200
a. What are the firm's break-even output and price?
b. Assuming that the market price is $24, should the firm produce? Why?
c. Assuming that the market price is $84, what are the firm's output, producer surplus and profit? What is the firm's supply function?
d. Present the above results in a graph.