Suppose you are the manager of a watchmaking firm operating in a perfectly competitive market. Your total cost of production in the short run is given by: SRTC = 79 + 8*q + 0.8"q, where q represents the units of output. (a) If the current market price (P) for watches is $70, how many watches (a) should your firm produce? Note: Round your answer to two decimal places. (b) What is the total revenue for the firm when the current price for watches is $707 Note: Round your answer to one decimal place, CHECK ANSWER
Suppose you are the manager of a watchmaking firm operating in a perfectly competitive market. Your total cost of production in the short run is given by: SRTC = 79 + 8*q + 0.8"q, where q represents the units of output. (a) If the current market price (P) for watches is $70, how many watches (a) should your firm produce? Note: Round your answer to two decimal places. (b) What is the total revenue for the firm when the current price for watches is $707 Note: Round your answer to one decimal place, CHECK ANSWER
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
![• Suppose you are the manager of a watchmaking firm operating in a perfectly competitive market.
• Your total cost of production in the short run is given by: SRTC - 79 + 8*q + 0.8"q, where q represents the units of output.
(a) If the current market price (P) for watches is $70, how many watches (a) should your firm produce?
Note: Round your answer to two decimal places.
(b) What is the total revenue for the firm when the current price for watches is $70?
Note: Round your answer to one decimal place,
CHECK ANSWER](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4a3893cb-41cc-46e2-9acb-5e0d93647fec%2Fd5378f90-e891-4280-8c4b-1de5b02f9f11%2Fjqg6r1d_processed.jpeg&w=3840&q=75)
Transcribed Image Text:• Suppose you are the manager of a watchmaking firm operating in a perfectly competitive market.
• Your total cost of production in the short run is given by: SRTC - 79 + 8*q + 0.8"q, where q represents the units of output.
(a) If the current market price (P) for watches is $70, how many watches (a) should your firm produce?
Note: Round your answer to two decimal places.
(b) What is the total revenue for the firm when the current price for watches is $70?
Note: Round your answer to one decimal place,
CHECK ANSWER
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Recommended textbooks for you
![ENGR.ECONOMIC ANALYSIS](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9780190931919/9780190931919_smallCoverImage.gif)
![Principles of Economics (12th Edition)](https://www.bartleby.com/isbn_cover_images/9780134078779/9780134078779_smallCoverImage.gif)
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
![Engineering Economy (17th Edition)](https://www.bartleby.com/isbn_cover_images/9780134870069/9780134870069_smallCoverImage.gif)
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
![ENGR.ECONOMIC ANALYSIS](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9780190931919/9780190931919_smallCoverImage.gif)
![Principles of Economics (12th Edition)](https://www.bartleby.com/isbn_cover_images/9780134078779/9780134078779_smallCoverImage.gif)
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
![Engineering Economy (17th Edition)](https://www.bartleby.com/isbn_cover_images/9780134870069/9780134870069_smallCoverImage.gif)
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
![Principles of Economics (MindTap Course List)](https://www.bartleby.com/isbn_cover_images/9781305585126/9781305585126_smallCoverImage.gif)
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
![Managerial Economics: A Problem Solving Approach](https://www.bartleby.com/isbn_cover_images/9781337106665/9781337106665_smallCoverImage.gif)
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
![Managerial Economics & Business Strategy (Mcgraw-…](https://www.bartleby.com/isbn_cover_images/9781259290619/9781259290619_smallCoverImage.gif)
Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education