Determine the perfectly competitive firms profit, Managerial Economics

Assignment Help:

1. Suppose in a perfectly competitive industry the market demand and supply forces combine to produce a short-run equilibrium price of Rs 70. Suppose that a firm in this industry has a weekly total cost function expressed by the equation TC = 200 + 25Q - 6Q2 + 1/3Q3. Determine the perfectly competitive firm's profit maximizing output rate and the amount of its short-run profits or losses.

2. A competitive firm's total revenue is Rs 100, its total cost is Rs 120 and its total fixed cost is Rs 40. Should the firm stay in business? Why?

 


Related Discussions:- Determine the perfectly competitive firms profit

Calculate the marginal product of labor, The production function of a small...

The production function of a small shop that frames pictures is Q = 5 √ LK where Q is the number of pictures framed per day, L is labor hours and K is the machine hours.

Variable reserve requirement, Variable Reserve Requirement  (Cash and Liqu...

Variable Reserve Requirement  (Cash and Liquidity Ratios) The Central Bank controls the creation of credit by commercial banks by dictating cash and liquidity ratios.  The ca

The cps data, Using the CPS data, set the sample to women only and regress ...

Using the CPS data, set the sample to women only and regress lnwage on education & MARRIED (which is 1 if married and 0 if not) and 1-MARRIED. Give a 95 percent confidence interval

Monetary theory, Monetary Theory We have seen that Schumpeter theory wh...

Monetary Theory We have seen that Schumpeter theory which runs in terms of innovations and technical change, is at best an incomplete explanation of trade cycle . there are eco

Price output determination , Discuss the price output determination using p...

Discuss the price output determination using profit maximization under perfect  competition in the short run.

Costing, Ask quesCase Study Electron Control, Inc., sells voltage regulato...

Ask quesCase Study Electron Control, Inc., sells voltage regulators to other manufacturers, who then customize and distribute the products to quality assurance labs for their sens

Total cost (tc), Total Cost (TC) This is the sum of fixed costs and va...

Total Cost (TC) This is the sum of fixed costs and variable costs i.e. TC = FC + VC.

Explain about transaction cost theory, Q. Explain about Transaction Cost Th...

Q. Explain about Transaction Cost Theory? The below model reveals market and institutions as a possible form of organisation to coordinate economic transactions. When external

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd