A manufacturer can produce at most 110 units of a certain product each year. The demand equation for the product is p=q² - 100q + 2400 and the manufacturer's average-cost function is 12,000 Determine the profit-maximizing output q and the corresponding maximum profit. = 39² - 459 +₁ q C= The profit-maximizing output q is (...)

A manufacturer can produce at most 110 units of a certain product each year. The demand equation for the product is p=q² - 100q + 2400 and the manufacturer's average-cost function is 12,000 Determine the profit-maximizing output q and the corresponding maximum profit. = 39² - 459 +₁ q C= The profit-maximizing output q is (...)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Consider a computer hardware production firm with total cost function TC = 2200+480Q+20Q², and market demand function Qd= 190- 2P; Q is output and Pis market price. (a) Determine the firm's Total Cost when it produces 120 units of output. (b) Determine the firm's Marginal Cost when it produces 120 units of output. (c) Determine the firm's Average Cost when it produces 120 units of output. (d) Find the market price of the firm's output when it sells 120 units of output. (e) Determine whether the firm makes profit, or loss, at 120 units of output.
Road Runner Co is a Pakistani manufacturer making Bicycles. It exports to two markets,Bangladesh and Sri Lanka. Demand for Bicycles in thesetwo markets is given by the following Functions: Bangladesh Q1 = 12 – P1 Sri Lanka Q2 = 8 – P2 Where Q1 and Q2 are respective quantities sold (in thousands) andP1 and P2 are the respective prices (in Pak. Rupees per unit) in the two markets. Total cost function is C = 5 + 2 (Q1+ Q2) (i) Company is effectively able to price discriminate in the two markets. What will be the total profits? (ii) Suppose the company does not engage in price discrimination. By charging the same price in the two markets what are the profit maximizing levels of price, output, and the total profits? (iii) Analyze, with graphs, the two alternative pricing strategies available to the company.
f(k,l) = 1/3k1/3, the A firm is faced with a production technology that uses capital and labor: q = price of labor is w, and the price of capital is r. (a) Write down the cost minimization problem and determine the contingent input demand functions: 1(w, r, q) and k°(w, r, q). Also, derive the cost function C(w, r,q). (b) The firm operates in a perfectly-competitive market and faces a market price of p. Write down the firm's profit function. Solve the maximization problem to determine (1) input demand, that is, the demand for labor and capital as a function of w, r, and p (2) the output supply function, q as a function of w, r, and p.
Kindly help The consumer price index for a group of workers was 250 in 1994 with 1980 as the; (1) Compute the purchasing power of a rupee in 1994 compared to 1980. (ii) At what value of consumer price index would the purchasing power of a rupee be 25 paise?
is profit maximisation seen as local minimum or maximum? Is part (b) the correct way of doing first derivative? There is image of the questions, another image of the answers of part (a) and (b).
Please select all that are true regarding Minimum Efficient Scale (MES): if the quantity demanded is equal to Qmes, then the lowest cost solution is for one firm to supply the market MES is the quantity produced where average costs for a firm are at a minimum Long run average costs include fixed cost steps as quantities (scale) increase Quantities (x-axis) less than MES exhibit decreasing returns to scale due to diminishing marginal returns Short run average cost curves are for a given level of fixed cost, individually MES is the quantity demanded where total costs for a firm are at a minimum Quantities (x-axis) greater than MES exhibit decreasing returns to scale due to diminishing marginal returns Average costs do not include fixed cost since they don't change
Can i have the written solution? Thank you!
Consider a computer hardware production firm with total cost function TC = 2200+480Q+20Q2, and market demand function Qd = 190 – 2P; Q is output and P is market price. (a) Determine the firm’s Total Cost when it produces 120 units of output. (b) Determine the firm’s Marginal Cost when it produces 120 units of output. (c) Determine the firm’s Average Cost when it produces 120 units of output. (d) Find the market price of the firm’s output when it sells 120 units of output. (e) Determine whether the firm makes profit, or loss, at 120 units of output.
Coca cola uses labour(L) and capital (k) in its production process. It estimates that the production function facing it is given by Q= K0.5 L0.5. The company can sell a bottle of coke at GH4. The cost of a machine is GH3 and that of Man- hour is GH5. The firm's total cost if production at the end of production is expected to be GH 3000. Required: Determine The optimal level of capital and labour usage The firm’s firm’s profit at the optimal levels of capital and labour usage The firm’s elasticity of output with respect to labour and capital and interpret it
Please answer fast
Road Runner Co is a Pakistani manufacturer making Bicycles. It exports to two markets,Bangladesh and Sri Lanka. Demand for Bicycles in thesetwo markets is given by the following Functions: Bangladesh Q1 = 12 – P1 Sri Lanka Q2 = 8 – P2 Where Q1 and Q2 are respective quantities sold (in thousands) andP1 and P2 are the respective prices (in Pak. Rupees per unit) in the two markets. Total cost function is C = 5 + 2 (Q1+ Q2) A.Determine the company’s total profit function. Also, (i) What are the profit maximizing levels of price and output for the two markets? (ii) Calculate the marginal revenues in each market. B.Now consider two cases: (i) Company is effectively able to price discriminate in thetwo markets. What will be the total profits? (ii) Suppose the company does not engage in price discrimination. By charging thesameprice in the two markets what are the profit maximizing levels of price,output, and the total profits?…
Find the marginal values for functions a, b, and c given below and evaluate each at Q=100. a) C(Q) = 540 + 6Q where C(Q) is the total cost function and Q is the level of production. b) R(Q) = 9Q where R(Q) is the total revenue when Q units are transacted at a constant price of P=$9. c) R(Q) = P(Q)Q, where P(Q) = 40 – 0.1Q, is a demand (inverse) function showing the dependence of price on quantity demanded Q.