Essentials of Economics (MindTap Course List)
7th Edition
ISBN: 9781285165950
Author: N. Gregory Mankiw
Publisher: Cengage Learning
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Question
Chapter 13, Problem 4PA
Subpart (a):
To determine
Profit maximization.
Subpart (b):
To determine
Profit maximization.
Subpart (c):
To determine
Profit in the long run.
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Students have asked these similar questions
Consider total cost and total revenue given in the following table:
TABLE IN IMAGE
Calculate profit for each quantity. How much should the firm produce to maximize profit?(ii) Calculate marginal revenue and marginal cost for each quantity. Graph them. (Hint: Put the points betweenwhole numbers. For example, the marginal cost between 2 and 3 should be graphed at 2½.) At what quantitydo these curves cross? How does this relate to your answer to part (a)?(iii) Can you tell whether this firm is in a competitive industry? If so, can you tell whether the industry is in along-run equilibrium? (8.75)
The diagram displays short-run cost curves for a facility that produces liquid crystal display (LCD) screens for cell phones:
a) What are the daily total fixed costs of producing LCD screens?b) What are the total variable costs of producing 100 LCD screens per day?c) What are the total costs of producing 100 LCD screens per day?d) What is the marginal cost of producing 100 LCD screens instead of 99? (Hint: To answer this question, you must first determine the total costs-or, alternatively, the total variable costs of producing 99 LCD screens.)
image 1 :
the following average-total-cost schedule:
Quantity
Average Total Cost
(Number of players)
(Dollars)
600
300
601
301
Your current level of production is 600 devices, all of which have been sold. Someone calls, desperate to buy one of your music players. The caller offers you $550 for it.
You ( should , or should not ) ? accept the offer.
image 2 :
Quantity
Total Cost
Variable Cost
(Dozens of pizzas)
(Dollars)
(Dollars)
0
280
0
1
320
40
2
350
70
3
380
100
4
420
140
5
470
190
6
530
250
The pizzeria's fixed cost is ?
.
Chapter 13 Solutions
Essentials of Economics (MindTap Course List)
Ch. 13.1 - Prob. 1QQCh. 13.2 - How does a competitive firm determine its...Ch. 13.3 - Prob. 3QQCh. 13 - Prob. 1QRCh. 13 - Prob. 2QRCh. 13 - Prob. 3QRCh. 13 - Prob. 4QRCh. 13 - Prob. 5QRCh. 13 - Prob. 6QRCh. 13 - Prob. 7QR
Ch. 13 - Prob. 8QRCh. 13 - Prob. 1QCMCCh. 13 - Prob. 2QCMCCh. 13 - Prob. 3QCMCCh. 13 - Prob. 4QCMCCh. 13 - Prob. 5QCMCCh. 13 - Prob. 6QCMCCh. 13 - Prob. 1PACh. 13 - Prob. 2PACh. 13 - Prob. 3PACh. 13 - Prob. 4PACh. 13 - Prob. 5PACh. 13 - Prob. 6PACh. 13 - A firm in a competitive market receives 500 in...Ch. 13 - Prob. 8PACh. 13 - Prob. 9PACh. 13 - Prob. 10PACh. 13 - Prob. 11PACh. 13 - Prob. 12PA
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