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Continuing with the example of Canadian lime manufacturing, suppose that the firms are identical and face a variable cost cur
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VG- Yoq+ 0.59 FC = $50 The firm with shut down in the thost nun , when price bal the maimun average varie And Ave is at its mSo down if the the price firm will fell below shut & 40 2. Total firms & 12 le n= 12 12 Supply equation is represented by the12 p- 48o - 360-P 12P+P = 360t 480 131 = 8% TP - $64.62 Shortsu equilibrium pria in the market. Now, put P = $64.62, we get aProfit = TR-TC 5/64:62) (246615) TK <$1590.62 (= F(+ VC - Sot 40(24.615) + 05/94.615 - 5ot 984.6 + 309.95 ITC - $ 1337.55 Pro

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