If the demand function faced by a firm is: Q = 90 – 2P TC = 2 + 57Q – 8Q2 + Q3 Determine the best level of output for the above question by the MR and MC approach.
If the demand function faced by a firm is: Q = 90 – 2P TC = 2 + 57Q – 8Q2 + Q3 Determine the best level of output for the above question by the MR and MC approach.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
If the demand function faced by a firm is:
Q = 90 – 2P
TC = 2 + 57Q – 8Q2 + Q3
Determine the best level of output for the above question by the MR and MC
approach.
Question 2: Determine the best level of output for a
TC = 0.04Q3– 0.9Q2 + 10Q + 5.
Will the firm produce this level of
output? Why?
Question 3: Suppose that the production function is given as follows:
TPL = 10L + 5L2 + L3
Find the total product, Marginal product and average product when L = 5.
Question 4: Find the optimum level of output and profit from the cost function
TC = 50 + 6Q2 and price P = 100 – 4Q
Also derive marginal cost and marginal revenue.
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