Question 2 1.25 pts A firm has a Total Cost function: TC (Q)-484 9Q-1.25Q2 + 0.08Q3...
A firm produces a product in a competitive industry and has a total cost function (TC) of TC(a) 60+4q+2q2 and a marginal cost function (MC) of MC(q) = 4 + 4q. At the given market price (P) of $20, the firm is producing 4.00 units of output. Is the firm maximizing profit?V What quantity of output should the firm produce in the long run? The firm should produce unit(s) of output. (Enter your response as an integer.)
A firm in a competitive market has a cost function: TC = 86 + 12Q - 1.6Q2 + 0.1Q3. What is the firm's shutdown price.
4. The engineering department has estimated your firm's cost function to be TC(O) = 5,000 + Q-Q? + Q: 13 This cost function has a marginal cost function MC(Q) = 1 -2Q+Q? a. Is this your long run or short run cost function? b. How much will it cost to produce 100 units? c. What is the average cost of 100 units? d. What is the marginal cost of the 100th unit? e. At what quantity is minimum average variable...
Suppose a firm has the following total cost function: TC = 300 + 40 Q – 8Q2 + (2/3) Q3 (a) Write an equation for (i) average fixed cost; and (ii) average variable cost (b) What will be the value of average (total) cost when Q = 60? (c) What will be the marginal cost, when Q = 20? (d) For this firm what will be the value of average variable cost at its minimum
Given the total cost function for a firm is (Q = output and TC = total cost) Q TC 0 0 1 20 2 39 3 56 4 71 5 84 6 95 the average total cost of producing six units of output is $15.83 True OR Flase
Given the total cost function for a firm is Q = output and TC = total cost Q TC 0 20 1 40 2 60 3 80 4 100 5 120 6 140 the production function that generated these costs must have increasing marginal product of the variable input (labor) TURE OR FLASE
Question 4 Consider the Sunshine Company, a perfectly competitive firm with the following cost function TC 12006Q + 202 where Q is the firm's output per day. a) Find the firm's marginal cost function. [2 marks] C b) If the price of Sunshine's product equals $66, how many units per day should the firm produce? [4 marks] c) Find the firm's average variable cost function. [3 marks] d) Is average variable cost at the quantity you calculated in part b)...
Assume that a competitive firm has the total cost function: TC=1q3−40q2+740q+1500 Suppose the price of the firm's output (sold in integer units) is $750 per unit. Using calculus and formulas (but no tables and restricting your use of spreadsheets to implementing the quadratic formula) to find a solution, what is the total profit at the optimal integer output level? Please specify your answer as an integer. Hint 1: The first derivative of the total cost function, which is cumulative, is...
Suppose that each firm in a competitive industry has the following costs:Total Cost: TC=50+1/2 q2Marginal Cost: MC=qwhere q is an individual firm's quantity produced.The market demand curve for this product is:Demand QD=160-4 Pwhere P is the price and Q is the total quantity of the good.Each firm's fixed cost is $_______ What is each firm's variable cost?1/2 q50+1/2 q1/2 q^{2}qWhich of the following represents the equation for each firm's average total cost?50/q+1/2 q50+1/2 q50/q1/2 qComplete the following table by computing the...
(10 pts) A firm has the following relationship between output (Q) and total cost (TC): Q TC 0 $100 1 110 2 130 3 160 4 200 5 250 6 310 7 380 8 460 9 550 10 650 Say the firm is a perfect competitor. If the market price for its product is $ 80, at what output level will this firm produce at (as a profit maximizer)? At the output level in (a), are firms in this industry...