Please explain in details with step-by-step solution, Thank you very much
Please explain in details with step-by-step solution, Thank you very much b) Evren wants to go...
Please explain in details with step by step solution, Thank you very much ) Assume a monopolist faces a market demand curve P 100 - 2Q and has the short-run total cost function C 640+20Q. i) What is the profit-maximizing level of output? What is the profits? Graph the marginal revenue, marginal cost, and demand curves, and show the area that (7 Marks) In Question f (i), what would price and output be if the firm priced at socially represents...
Please explain in details with step by step solution, Thank you very much a) Because of my heavy teaching load this term, I did not have time to finish the table below, which relates output and cost. Please do it for me. The marginal cost figures refer to the marginal cost of moving from the previous unit to the unit of the row specified. Quantity Total Fixed Variable AverageAverageAverage Marginal (Q) Cost Cost Cost Cost Fixed Cost Variable Cost (TC)...
(20 points) Frank wants to go into the donut business. For $500 per month he can rent a bakery complete with all the equipment he needs to make a dozen different kinds of donuts (K-1,r-500). He must pay unionized donut bakers a monthly salary of $400 each. He projects his monthly production function to be q-5LK, where q is tons of donuts. 4. With the current level of capital, derive the total product of labor and the marginal product of...
Please explain in details with step-by-step solution, Thank you very much d) Consider a perfectly competitive market with a market demand curve that is given by the equation P 2000-2. A representative firm in this market has a total cost curve given by the equation TC 121 64q+ and a marginal cost curve given by MC- 642g. O is the market quantity and q is the firm quantity. Suppose the short-run price (P) in this market is S100 i) What...
Doug wants to go into the donut business. For $500 per month he can rent a bakery complete with all the equipment he needs to make a dozen different kinds of donuts (K=l). He must pay unionized donut bakers a monthly salary of $400 each. He projects his production function to be Y = 5KL (where Y is tons of donuts). A) How many donuts does Doug need to produce in order for K=4 to be the optimal level of...
Please explain in details with step by step solution, Thank you very much cLyon Concrete is a monopoly supplier of concrete in Penang. Demand for the firm's concrete is given by P 110-40 Marginal cost (MC) is constant and equal to 10. i) What are the profit-maximizing price and output? (4 marks) ii) Demonstrate your answers to part ) using an appropriate diagram. (5 marks) ii) What is the deadweight loss resulting from Lyon's monopoly? (4 marks) iv) Compared to...
Consider a competitive rm with total costs given by TC(q) = 100 + 10q + q^2, The firm faces a market price p = 50. (a) Write expressions for total revenue TR and marginal revenue MR as functions of output q. (b) Write expressions for average total cost ATC, average variable cost AVC, and marginal cost MC as functions of output q. (c) For what value of output is ATC minimized? (d) Find the profit maximizing level of output q...
Consider a firm facing conventional technology with U-shaped AVC and ATC and MC. The firm wants to maximize profits given an exogenously fixed price of P = $20. Further, suppose the firm correctly determines that its short run profit maximizing output is 1000 given its costs and the exogenously fixed price of $20. Question 1A Using the axes as constructed below, depict marginal revenue and marginal cost curves that would support the conclusion that the optimal short run output is...
1. Suppose that a firm operating in perfectly competitive industry has short-run cost function given by C(q) = 5+2q+9. The market price is $10. (a) What is the profit-maximizing output level for this firm? (b) What is the firm's total revenue and profits at the profit-maximizing output? (c) What is the minimum price at which the firm will produce a positive level of output in the short run?
Need help as soon as possible 1. Short Run Cost Curves: Consider two firms, producing different products, with the following production functions: q=5KL (1) q=5(KL)-S (2) a. For a short-run situation in which K=100, and given wage = 3 and cost of capital = 1, derive expressions short run total cost for each production function. (Start by using the production function to develop an expression for Lin terms of q, and then substitute that, and the given parameters, into the...