2. The demand curve facing a competitive firm The following graph illustrates the market for small moving trucks in Waco, TX, during Baylor's fall move-in week. PRICE (Dollars per small truck) 100 90 80 70 60 50 40 30 20 10 0 0 Demand + 1 5 6 QUANTITY (Hundreds of small trucks) 0 1 2 3 Supply Suppose that You Yeet is one of over a dozen competitive firms in the Waco area that offers moving truck rentals. 9 10 Based on the preceding graph showing the weekly market demand and supply curves, the price YouYeet must take as given is 5 Fill in the price and the total, marginal, and average revenue YouYeet earns when it rents 0, 1, 2, or 3 trucks during move-in week. Quantity Price Total Revenue Marginal Revenue Average Revenue (Trucks) (Dollars per truck) (Dollars) (Dollars) (Dollars per truck) Average revenue curve Marginal cost curve Marginal revenue curve The demand curve faced by YouYeet is identical to which of its other curves? Check all that apply. □ Supply curve

2. The demand curve facing a competitive firm The following graph illustrates the market for small moving trucks in Waco, TX, during Baylor's fall move-in week. PRICE (Dollars per small truck) 100 90 80 70 60 50 40 30 20 10 0 0 Demand + 1 5 6 QUANTITY (Hundreds of small trucks) 0 1 2 3 Supply Suppose that You Yeet is one of over a dozen competitive firms in the Waco area that offers moving truck rentals. 9 10 Based on the preceding graph showing the weekly market demand and supply curves, the price YouYeet must take as given is 5 Fill in the price and the total, marginal, and average revenue YouYeet earns when it rents 0, 1, 2, or 3 trucks during move-in week. Quantity Price Total Revenue Marginal Revenue Average Revenue (Trucks) (Dollars per truck) (Dollars) (Dollars) (Dollars per truck) Average revenue curve Marginal cost curve Marginal revenue curve The demand curve faced by YouYeet is identical to which of its other curves? Check all that apply. □ Supply curve

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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1) Briefly explain how the total revenue for a profit-seeking film is determined 2)Briefly explain what is meant by the term "fixed costs" and provide three examples of same. What determines a firm's level of fixed costs? 3)Contrast the rold of fixed costs and variable costs in economic decisions about future prodiction 4)Briefly compare and contrast the perceived demand curve for a monopolitically competitive firm and a perfectly competitive firm. 5)Briefly explain what quantity a profit maximizing monopolistic competitor will seek. Why not this type of competitive frim is productively efficient?
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