The short-run cost function of a U.S. furniture manufacturer is approximately 800 C(q) = 0.55q" 1.67 At what positive quantity does the average cost function reach its minimum? The average cost function reaches a minimum at a quantity of q= 23.025. (Enter a numeric response using a real number rounded to two decimal places.) If a $600 lump-sum tax is applied to the firm, at what positive quantity is the after-tax average cost minimized? With the tax, the average cost function reaches a minimum at a quantity of q= (Round your response to the nearest integer. Hint: the final equation will be rather complicated to solve by hand. It is recommended that you solve it using a graphing calculator.

The short-run cost function of a U.S. furniture manufacturer is approximately 800 C(q) = 0.55q" 1.67 At what positive quantity does the average cost function reach its minimum? The average cost function reaches a minimum at a quantity of q= 23.025. (Enter a numeric response using a real number rounded to two decimal places.) If a $600 lump-sum tax is applied to the firm, at what positive quantity is the after-tax average cost minimized? With the tax, the average cost function reaches a minimum at a quantity of q= (Round your response to the nearest integer. Hint: the final equation will be rather complicated to solve by hand. It is recommended that you solve it using a graphing calculator.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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c) The product function of a company is given by 1 v2 , where v is the number of units of fv) = the input factor. The company buys the input factor at a fixed price per unit given at 5 q =. Assume further that the company has fixed costs which in their entirety are sunk costs, and which is given by F= 100 . Show that the company's cost function is CO 20= y? +100 . d) Take as a starting point the information given in task (c), and assume that the company can sell finished goods in the market at a fixed price given by = 800 Formulate the company's profit function, and calculate which production volume maximizes corporate profits.
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Could you solve d,e,f ? Thank you
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