1. Consider the perfectly competitive market for guitar tuners. The mar-ket price for a guitar tuner is $20 and the cost functions are:TC (q) = .01q² + .2q + 4950%3DMC (q) = .02g +.2(a) Find the profit-maximizing quantity of guitar tuners produced bya firm in this market.(b) Calculate the profit each firm will earn in this market(c) Graphically depict the firm's profit-maximization problem. (note:this doesn't need to be to scale but should accurately reflect the signof the profit)(d) Will firms enter into this market in the long run?(e) Graphically show how the price will change as the market pro-gresses towards a long-run equilibrium. (There's no need to findthe exact long-run equilibrium price. Just follow similar steps towhat we did in class)

Since you have posted multiple parts question, we will solve the first three parts for you. If you…

Answered: ket price for a guitar tuner is $20 and…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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9 = √KE C10K+5E K = 1 C(q) = 10 +5q² Market price (P) : = 30 = 30 = 10q q = 3 P = MC = Profit per unit π = = = R TC P q q զ π = (P - ATC)q - P 30 25 20 15- - ATC 10 0 p = 30 Cost Curves for C(q)=10+5q² MC Profit ATC AVC AFC о 3 4 5 6
Math 1
18) An appliance company determines that in order to sell x dishwashers, the price per dishwasher must be p=660-0.4x. It also determines that the total cost of producing x dishwashers is given by C(x) = 5000+ 0.6x². What is the maximum profit? A) $103,900 B) $108,900 C) $113,900 D) $212,800
For the cost and price functions below, find a) the number, q, of units that produces maximum profit; b) the price, p, per unit that produces maximum profit; and c) the maximum profit, P. C(q) = 90+12q; p= 64-2q a) The number, q, of units that produces maximum profit is q = b) The price, p, per unit that produces maximum profit is p=$ c) The maximum profit is P = $.
The total revenue function for a product is given by R=655x dollars, and the total cost function for this same product is given by C=19,250+70x+x2, where C is measured in dollars. For both functions, the input x is the number of units produced and sold. a. Form the profit function for this product from the two given functions. b. What is the profit when 25 units are produced and sold? c. What is the profit when 43 units are produced and sold?
For the cost and price functions below, find a) the number, q, of units that produces maximum profit; b) the price, p, per unit that produces maximum profit; and c) the maximum profit, P. C(q) = 70+ 14q; p = 70-2q a) The number, q, of units that produces maximum profit is q = b) The price, p, per unit that produces maximum profit is p = $ c) The maximum profit is P = $
The marginal revenue (in thousands of dollars) from the sale of x handheld gaming devices is given by the following function. R'(x) = 4x (x²+25,000) (a) Find the total revenue function if the revenue from 120 devices is $34,166. (b) How many devices must be sold for a revenue of at least $50,000? (a) The total revenue function is R(x), given that the revenue from 120 devices is $34,166. (Round to the nearest integer as needed.) (b) devices must be sold to generate a revenue of at least $50,000 (Type a whole number.)
Cost, revenue, and profit are in dollars and x is the number of units. Suppose that the marginal revenue for a product is MR = 1800 and the marginal cost is MC = 90Vx + 4, with a fixed cost of $600. (a) Find the profit or loss from the production and sale of 5 units. There is a -Select-- | of $ (b) How many units will result in a maximum profit? units
The daily demand function for x LED lights sold by a major retailer is p = 1112.5 0.75x dollars, and the average cost of sales is C = 250 + 3x dollars. Find the quantity that will maximum profit, the selling price at that quantity and the maximum profit. a) Selling LED lights will maximum profit. b) The selling price at the answer in part (a) is $ c) The maximum profit is $
Suppose a company has fixed costs of $1500 and variable costs of (3/4)x + 1120 dollars per unit, where x is the total number of units produced. Suppose further that the selling price of its product is 1200 − (1/4)x dollars per unit. (a) Find the break-even points. (Enter your answers as a comma-separated list.)x = (b) Find the maximum revenue. (Round your answer to the nearest cent)$ (c) Form the profit function, P(x), from the cost and revenue functions.P(x) = Find maximum profit. (Round your answer to the nearest cent.)$ (d) What price will maximize the profit? (Round your answer to the nearest cent.)
A firm uses the production technology q = (x{ + xP, where a is a constant and 0 # p< 1. (a) Derive the firm's cost function, c(w1,W2,9). (b) Derive the firm's profit, 7(p,w1,w2). (c) Derive the elasticity of scale for this production technology. (d) What restrictions must a satisfy to ensure that the profit function is well-defined? Explain.
The HAC at Humberview has decided to sell Gatorade to raise money. The demand function is described by px=-4x+340 , where x is the number of bottles, in hundreds, and px is in dollars. The cost function, in dollars, is described by Cx=300x-275. Determine the number of Gatorade bottles they must sell so that they maximize their profit.

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