A competitive firm has following SHORT RUN cost function: C = 4 + 2q3- 4q2 + 20q Answer: (a) Obtain in a table average total cost (ATC), average variable (AVC) and marginal costs (MC). Plot on a graph b) In what price interval will firm offer zero output? Identify on your graph c) Identify the supply curve in graph d) At what price will firm offer exactly 8 units?

Q: Suppose a firm’s long-run total cost (LTC) curve is given LTC=2Q3-12Q2+20Q, and the long-run…

A: supply curve is the upward sloping curve which shows positive relationship between price and…

Q: Now, suppose in addition that the market demand is Q = 18,000 - 100p. (d) In the long run…

A: Perfect competition(PC) is that market structure where there are infinite number of buyers and…

Q: Problem 2 All firms in a competitive industry have the following (long-run) total cost curve: C(q) =…

A: a) To get the long-run price of the market, initially it is required to ascertain q from the cost…

Q: 11: For parts (1)-(3), suppose the market for hibiscus plants is perfectly competitive and the…

A: Here, C = 70q - 20q2 + 2q3  MC = dC/dq = 70 - 40q + 6q2   q = 30 - 0.5p p= 60 - 2q TR = p*q =…

Q: demand curve faced by the firm is: P = 230 - 4Q where Q = Q1 + Q2 total cost equations for the two…

A: MC (marginal cost) is the cost incurred by the firm when an additional unit of a good is produced.…

Q: QUESTION 1 Given a demand curve of P = 170 - 3Qd and supply of P = 2 + 6Qs, find the optimal level…

A: The demand curve is given as The supply curve is given as

Q: 14.The demand function for a new product is p(x) = - 2x + 7 , where p is the selling price of the…

A: Profit is the difference between total revenue and total cost. Total revenue is the product of price…

Q: 2. Suppose the production function of a firm is given by f (x₁, x2) : = 2x1 + 4x2. (a) Calculate the…

A: Production function shows the relationship between inputs and output. Isoquant represents the…

Q: Suppose that the market demand for a product is given by Q= A-P (A>0). Suppose also that in a…

A: Perfect competition is a market structure characterized by a large number of buyers and sellers who…

Q: Pierce Manufacturing determines that the daily revenue, in dollars, from the sale of x lawn chairs…

A: "Since you have posted a question with multiple sub-parts, we will solve the first three subparts…

Q: The coffee industry is comprised of many firms producing an identical product. Market demand and…

A: An industry comprised of many firms producing an identical product ia a perfect competitive…

Q: What part of the MC curve can be seen as the firm's supply curve? Revenue and cost (rand) 200 160…

A: Step 1: The supply curve of a firm is the portion of the marginal cost (MC) curve that lies above…

Q: Suppose a competitive firm has the following short run cost function: C(q) = q³-8q² + 30q + 5. a. р…

A: The MC above the minimum point of AVC is called supply.

Q: In the long run, some firms will respond by Shift the demand curve, the supply curve, or both on the…

A: A perfectly competitive market operates at the intersection point of market demand and market supply…

Q: Assume a competitive firm faces a market price of $70, a cost curve of! C=0.002q + 30q + 750, MC =…

A: In perfect competition, There exists a large number of buyers and sellers. The firm will produce…

Q: 2. Suppose the production function of a firm is given by f (x1, x2) = 2x1 + 4x2. (a) Calculate the…

A: Economics refers to the social science that studies the production, distribution, and consumption of…

Q: Jane's company is operating in a perfectly competitive market where each company's total cost is…

A: A market structure in which there are numerous buyers and sellers who have no significant market…

Q: Suppose you supply good X in a perfectly competitive market. To sell good X you rent a building for…

A: In this fully competitive market, you're losing money. Even with the first alluring $16 pricing,…

Q: QUESTION 2 The long-run total cost function for producers of mineral water is LRTC (Q) = rQ, where Q…

A: Answer - Part a Answer - Need to find- Long run equilibrium price and quantity  Given in the…

Q: (Enter your At a price of $18 per CD, a firm sells 40 CDs. If the slope of the demand curve is -…

A: Marginal revenue is the revenue generated from the sale of an additional unit of output.  Total…

Q: Yann's bakery operates in a perfectly competitive market where the prevailing price for a baguette…

A: Perfect competition is a concept in economics that represents an idealized market structure in which…

Q: Define Q to be the level of output produced and sold, and assume that the firm’s cost function is…

A: The total cost for the firm is given as The demand function is written as

Q: Consider a manufacturer making leather cases with a market demand function (weekly) given by…

A: Profit refers to the difference between total revenue and total costs when producing and selling a…

Q: The graph below shows the marginal cost (MC), average variable cost (AVC), and average total cost…

A: We can see that one of the axis we see the cost and profit is given, the verticle axis.Here, the…

Q: Derive the supply function from the firm theory. Do not use numbers. Just graphs and detailed…

A: Supply is defined as an economic concept which describes the total amount of a good or a service…

Q: A firm in a perfectly competitive industry has fixed costs of FC = 3 and average variable costs of…

A: “Since you have posted a question with multiple sub-parts, we will provide the solution only to the…

Q: A firm has a cost function of C = 1000 + 20Q + 1/10Q2a) Estimate the firm’s demand function. You may…

A: The objective of the question is to estimate the firm's demand function, find the firm's revenue…