Answered: A firm has the following revenue and…

A firm has the following revenue and cost functions. TR = 60 Q – Q2 TC = 12 Q2 +30 Q + 30 Determine the quantity level at which the firm maximizes its total profit.

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter8: Perefect Competition

Section: Chapter Questions

Problem 13SQ

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A firm has the following revenue and cost functions. TR = 60 Q – Q2 TC = 12 Q2 +30 Q + 30 Determine the quantity level at which the firm maximizes its total profit. (Hint: use marginal revenue = marginal cost rule)

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A firm has the following revenue and cost functions. TR = 90 Q – Q2 TC = 2Q 2+ 30 Q Determine the quantity level at which the firm maximizes its total profit. (Hint: use marginal revenue = marginal cost rule)
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A firm has the following revenue and cost functions. TR= 60 - Q - Q2 TC = 1/2 Q2 + 30 Q + 30 Determine the quantity level at which the firm maximizes its total profit. (Hint: use marginal revenue = marginal cost rule)
b) A firm's total cost function is TC = 0.1Q³ -0.5Q² + 8Q + 10 and total revenue is TR = 52Q -0.25Q² + 8. i) What is the profit maximizing level of output? ii) Calculate marginal revenue and marginal cost at this point. What do you observe?
Question 2 TR=90Q - Q2 TC=2Q2 + 30Q Determine the quantity level at which the firm maximizes its total profit.(hint:use marginal revenue=marginal cost rule)
Price, marginal revenue, marginal cost, average total cost W D B MC U J KL ATC a) The firm's economic profit is area = b) Is this firm operating in the short or long run? MR Demand N Quantity (per period)
What would be the profit earned by the firm if his total revenue is $490 and the total costs are $500
Given the cost data in the table below, the firm will shut down and produce zero output if the market price falls below in which case the firm's loss is Average Total Variable Total Cost, Marginal Cost, Average Total Output, Q Variable Cost, Cost, TVCIQ) TC(Q) MC(Q) Cost, ATC(Q) AVCIQ) 80 $9.813.33 $11,813.33 $48.00 $122.67 $147.67 90 $10,260.00 $12,260.00 $42.00 $114.00 $136.22 100 $10,666.67 $12,666.67 $40.00 $106.67 $126.67 110 $11,073.33 $13,073.33 $42.00 $100.67 $118.85 120 $11,520.00 $13,520.00 $48.00 $96.00 $112.67 130 $12,046.67 $14,046.67 $58.00 $92.67 $108.05 140 $12,693.33 $14,693.33 $72.00 $90.67 $104.95 150 $13,500.00 $15,500.00 $90.00 $90.00 $103.33 160 $14,506.67 $16.506.67 $112.00 $90.67 $103.17 170 $15,753.33 $17,753.33 $138.00 $92.67 $104.43 180 $17,280.00 $19,280.00 $168.00 $96.00 $107.11 190 $19,126.67 $21,126.67 $202.00 $100.67 $111.19 200 $21,333.33 $23,333.33 $240.00 $106.67 $116.67 O $40; $12,666.67. O $90; $2,000. O $103.17: $2.000. $90; $0. O $90; $29,000. O…
Please answer parts iv and v
40 - 2P and its total cost 5. A firm's demand function is Q function is defined as TC = 100 + 2Q + 0.25 Q? . Use these two functions to form the firm's profit function and then determine the level of output that yields the profit maximum. What is the level of profit at the optimum level of output?
p= 130 - 2Q. The firm's cost curve is C(Q) = 20 + 6Q. What is the profit-maximizing solution? The profit-maximizing quantity is O. (Round your answer to two decimal places.) The profit-maximizing price is $. (round your answer to two decimal places.) What is the firm's economic profit? The firm earns a profit of $]. (round your answer to two decimal places.) How does your answer change if C(Q) = 100 + 6Q? The increase in fixed cost O A. causes the firm to increase both the price and quantity, and profit increases. O B. has no effect on the equilibrium price and quantity, but profit will decrease. OC. has no effect on the equilibrium quantity, but the equilibrium price increases and profit increases. OD. has no effect on the equilibrium quantity, but the equilibrium price increases and profit decreases.