A perfectly competitive firm has the following short-run total cost: Quantity TC MC AVC ATC $5 10 2 13 18 25 5 34 6 45 The market demand for the firm's product is given by the following market demand schedule: Price Quantity Demanded $12 300 10 500 8 800 6 1200 4 1800 Calculate the firm's marginal cost, and for all output levels except zero, the firm's average variable cost and average total cost. а. b. There are one hundred firms in the industry that all have identical costs. What is the market price, and how much profit will each firm make? Hint: You have to find the price at which quantity demanded equals quantity supplied for the entire market. c. How many firms will be in this industry in the long run if the above costs correspond to the most efficient amount of capital for a firm?

A perfectly competitive firm has the following short-run total cost: Quantity TC MC AVC ATC $5 10 2 13 18 25 5 34 6 45 The market demand for the firm's product is given by the following market demand schedule: Price Quantity Demanded $12 300 10 500 8 800 6 1200 4 1800 Calculate the firm's marginal cost, and for all output levels except zero, the firm's average variable cost and average total cost. а. b. There are one hundred firms in the industry that all have identical costs. What is the market price, and how much profit will each firm make? Hint: You have to find the price at which quantity demanded equals quantity supplied for the entire market. c. How many firms will be in this industry in the long run if the above costs correspond to the most efficient amount of capital for a firm?

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

How do you decide if you need life insurance?
What are some strategies a homeowner can use to reduce the total interest paid on mortgage. You may illustrate a sample situation.
Why do people engage in white- collar crimes?
How is YOUR ability to create & manager YOUR Wealth will impact you, your family, your community, and the world.
Typed plzz
What is mortgage insurance?
Choose the correct option. In 2010 in the aftermath of the global financial crisis, some were concerned that pressures might be put on the Federal Reserve to purchase government bonds to help the government to stimulate the lagging economy. If the Fed were to buy government bonds to help the government finance its expenditures, then the price level would. (a) fall, so the value of money would fall. (b) fall, so the value of money would rise. (c) rise, so the value of money would fall. (d) rise, so the value of money wouldrise.
Answer this question
help
What can socilety do about fake new?
Pls help ASAP
How can you use Microsoft Excel and your agility and problem solving skills to understand the level of risk involved in selecting the appropriate insurance to achieve your goals. How will problem solving, productivity, technology, and agility help you achieve your personal and professional goals?