69. In a perfectly competitive market, industry demand is given by Q = 1000 – 20P. The typical firm’s average cost is TC = 300 + Q2 /3, and marginal cost by MC = (2/3)Q. What is the profit of a typical firm in this industry?A. $320.60B. $311.60C. $300.60D. $290.60 In a perfectly competitive market, industry demand is given by the equation:\[ Q = 1000 - 20P \]where $ Q $ is the quantity demanded and $ P $ is the price.The typical firm’s total cost (TC) is represented by:\[ TC = 300 + \frac{Q^2}{3} \]The marginal cost (MC) for the typical firm is given by:\[ MC = \frac{2}{3}Q \]**Question:**What is the profit of a typical firm in this industry?**Options:**- ○ $320.60- ○ $311.60- ○ $300.60- ○ $290.60

According to the question the industries demand function is given by Q = 1000 – 20P And, TC = 300 +…

Answered: 69. In a perfectly competitive market,…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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69. In a perfectly competitive market, industry demand is given by Q = 1000 – 20P. The typical firm’s average cost is TC = 300 + Q²/3, and marginal cost by MC = (2/3)Q.

What is the profit of a typical firm in this industry?

A. $320.60

B. $311.60

C. $300.60

D. $290.60

In a perfectly competitive market, industry demand is given by the equation:

\[ Q = 1000 - 20P \]

where $ Q $ is the quantity demanded and $ P $ is the price.

The typical firm’s total cost (TC) is represented by:

\[ TC = 300 + \frac{Q^2}{3} \]

The marginal cost (MC) for the typical firm is given by:

\[ MC = \frac{2}{3}Q \]

**Question:**

What is the profit of a typical firm in this industry?

**Options:**

- ○ $320.60
- ○ $311.60
- ○ $300.60
- ○ $290.60

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