A perfectly competitive firm has variable cost

Assignment Help Microeconomics
Reference no: EM13498468

1.Suppose in the short run a perfectly competitive firm has variable cost = 6q2, and MC = 12q where q is the quantity of output produced. Also, the firm has fixed cost F = 6144.

a) If the market price of the product is $336, how much output should the firm produce in order to maximize profit?

b) How much profit will this firm make?

c) Given your answer to b), what will happen to the market price as we move from the short run to the long run?

d) What is the break-even price for this market?.

Reference no: EM13498468

Questions Cloud

Describe six typical control activities : Explain the audit procedures that your firm should carry out to obtain assurance about the amount of the provision if any that should be included in the company's financial statements, in connection with the ex-employee's ..
Estimate the tension in the wire : A stainless steel orthodontic wire is applied to a tooth, as shown in the figure above. The wire has an unstretched length of 2.7 cm and a diameter of 0.2 mm. What is the tension in the wire
Explain what pressure in atm does it exert : If 40.0 g of methane (CH4) is confined to 2.50 x10^3 mL at 200 degrees celsius, what pressure in atm does it exert
Explain what is the final energy and n value of the atom : A ground-state H atom absorbs a photon and makes a transition to the n = 4 energy level. It then emits a photon of energy 4.085 x 10^-19 J. What is the final energy and n value of the atom
A perfectly competitive firm has variable cost : 1.Suppose in the short run a perfectly competitive firm has variable cost = 6q2, and MC = 12q where q is the quantity of output produced. Also, the firm has fixed cost F = 6144.
Identification of the system users and stakeholder : Identification of the system users and stakeholder, including an explanation of the nature of information required by them and why they require such information.
Calculate how fast are the waves moving : A group of swimmers is resting in the sun on an off-shore raft. How fast are the waves moving
Explain what volume of gas will be produced : A person accidentally swallows a drop of liquid oxygen, O2(l), which has a density of 1.149 g/mL. Assuming the drop has a volume of 0.035 mL, what volume of gas will be produced in the person's stomach at body temperature (37°C) and a pressure of ..
What is the acceleration of the bar : A 2.60-N metal bar, 1.50 m long and having a resistance of 10.0 ohms, rests horizontally on conducting wires connecting it to the circuit,  What is the acceleration of the bar just after the switch S is closed

Reviews

Write a Review

Microeconomics Questions & Answers

  What will be the incremental cost unadjusted

Newbury Drug has recently offered to purchase 25,000 bottles of aspirin that they will sell in their stores under a generic label. Newbury has offered to pay $3.95 for each bottle of aspirin. The controller of Lydek in analyzing the offer has de..

  Are these goods substitutes or complements for cigarettes

The case study presented in the chapter discussed cigarette taxes as a way to reduce smoking. Now think about the markets for other tobacco products such as cigars and chewing tobacco.

  Give the porter fuve force analysis of each kind of network

television channel operating profits very from as high as 45 to 55 percent at mtv and nickelodeon down to 12 to 18

  Which credit card has the best deal

Victory Visa, Magnificent Master Card, and Amazing Express are credit card companies that charge different interest on overdue accounts. Victory Visa charges 26% compounded daily, Magnificent Master Card charges 28% compounded weekly, and Amazing ..

  Ait is estimated that 18 years from now college tuition at

a.it is estimated that 18 years from now college tuition at the university of hartford will be 42000 per year. if your

  Determine the main reason for the passage of each law how

once you complete this weeks readings and review the lecture materials answer the following questions in as much

  To really understand it calculate following price

you just opened a flower shop and are trying to understand pricing issues. you were told that elasticities are very

  Determining equilibrium price and output

Consider the competitive market served by many domestic and foreign firms. The domestic demand for such firm's product is Qd=500-1.5P. The supply function of domestic firms is Qsd=50+.5P, while that of the foreign firms is Qsf=250.

  What is the invisible hand principle

What is the invisible hand principle Does it indicate that self-interset behavior within markets will result in actions that are beneficial to others What conditions are necessary for the invisible hand to work well? Why are these conditions impor..

  Calculate medal shares for total medals won

Calculate medal shares for total medals won, for each country,  by year. The medal share for country in a year is the proportion of the   total number of medals awarded in that year's Olympics that is awarded to  the country. To calculate the me..

  Eamine leadership styles of senior executive ceo cfo coo

organizational leaders are expected to create realistic visions for their companies and the employees they guide but

  Wat do you think about idea of private money how it would

what do you think about idea of private money? how do you think it would work? if people were free to use whatever

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