Competes in perfectly competitive market

Assignment Help Business Economics
Reference no: EM131378488

If Will’s Print Shop competes in a perfectly competitive market and he charges $10 per printing job, what is the marginal revenue of his 3rd print job?

a) $3.33

b) $10.00

c) $30.00

d) Between $10.00 and $30.00

If Mara’s Puzzle Factory is operating at a quantity in which the marginal revenue from the last puzzle produced is $20, marginal cost is $15, and average total cost is $10. What should Mara do to maximize profits?

a) Leave her production exactly where it is because she is clearly earning a profit.

b) Decrease her production of puzzles.

c) Increase her production of puzzles.

d) Shut down her business because it is losing money.

Reference no: EM131378488

Questions Cloud

Business venture must develop comprehensive business plan : A New Business Venture must develop a comprehensive business plan to borrow money to get started. companies such as FedEx, Nike, and Rolm Corporation say they did not follow the original plan cosely. Does that mean that developing the plan was a wast..
What is the profit maximizing quantity : A firm's production function is qi = 2Li + 10Ki. Assume both variables can be adjusted, even in the short run (for instance, making an item by hand versus using a machine to do so). What is the firm's cost function. Now suppose the output price is $8..
The political business cycle refers : The political business cycle refers to
Provide for markets to survive and function efficiently : Most economists agree that markets do a good job of organizing trade, domestic and foreign. What conditions must a government provide for markets to survive and function efficiently?
Competes in perfectly competitive market : If Will’s Print Shop competes in a perfectly competitive market and he charges $10 per printing job, what is the marginal revenue of his 3rd print job? If Mara’s Puzzle Factory is operating at a quantity in which the marginal revenue from the last pu..
Analysis of potential supply chain locations : Briefly describe what we mean by an EPIC analysis of potential supply chain locations. Explain your answer in terms of the countries that you analyzed for your tests and projects.
Explain marketing strategy in terms of the interplay : Explain marketing strategy in terms of the interplay between culture and human nature. Start with the premise that the intent of marketing strategy is to influence the behavior of potential customers and the premise that human nature has much in comm..
Find the firm short run cost function : A firm's production function is qi = 0.2*Ki^(0.6)Li^(0.4). The wage rate in this area is w = $15, and the cost of capital is r = .05. Find the firm's short run cost function, if Ki is fixed at $100,000. If the good is exported around the world at a p..
Should jared shut down his business immediately : Jared runs a personal training studio and earned $5,000 last month. His fixed costs are $4,000 and variable costs are $3,500. Should Jared shut down his business immediately? Dimitri has several apple trees in his yard, and apples are a perfectly com..

Reviews

Write a Review

Business Economics Questions & Answers

  Federal and state governments will reduce deficit spending

Federal and state governments will reduce deficit spending by 1.8 trillion this fiscal year. This action will cause which of the following to occur?

  What is the expected value for the annual savings

Annual savings due to energy efficiency thermo well have a most likely value of $30,000. The most optimistic value is $40,000 with a probability of 0.2 and a most pessimistic value of $20,000 at 0.3. The First Cost is $150,000, the interest rate 10%,..

  Consider model of three-period-lived individuals

Consider a model of three-period – lived individuals. Suppose the two-period real rate of return on capital is X = 1. 44, the rate of population growth is n = 1. 1, and the rate of fiat money creation is z = 1. 2. Find the following net rate for both..

  Q1 the price of good is 120 per unit also annual demand is

q1. the price of good is 1.20 per unit also annual demand is 800000 units. market research indicates that an increase

  Which country or industry are seen as scarce

HI5003  Economics for Business. Scarce resources- which resource and in which country/industry are seen as scarce and what is being done in the industry or country. What substitutes have been used to overcome this problem

  Labor demand for wheat production and the market wage rate

A country produces two crops– paddy and wheat. Given the price of paddy(Pp) and wheat(Pw), the relationship of labor allocation is shown as MPLpXPp = MPLwXPw = w, where MPLp and MPLw are marginal products of labor for the two. If wheat’s price increa..

  Illustrate relationship exists and how might a manager use

Illustrate what relationship exists and how might a business manager use this information to increase their profits.

  Enabling the company to regain and maintain market share

R/C Aero Specialties produces unmanned aerial vehicles (UAVs), or drones, for commercial and recreational uses. The company has updated its design to compete with Fuji Enterprises, but its production costs for this new model require a retail price th..

  Higher than the growth rate of productivity

Given the production function Y = A   and fixed values for the saving rate and depreciation, if productivity is growing at an average rate of three percent, and the labor input grows at two percent, there is a unique growth rate of capital that is su..

  Consumption-investment and real money balances

Discuss the short and the long-run impacts of the following scenarios on the interest rate (r) price level (P), and national income (Y) level, consumption, investment and real money balances, using the IS-LM model (diagram). Discuss the short and lon..

  Monopolist manufacturer sells his products

Suppose a monopolist manufacturer sells his products through a monopolist retailer.  The marginal cost of production is  c  = 5.  Assume that retail demand is Q(p,s) = s(10-p)100, where s is retailer's level of effort to sell the product.  The cost..

  According to the solow growth model

According to the Solow growth model, if a country is above its steady state level of output, we would expect that next year it would be: According to the Solow growth model, if a country is below its steady state level of output, we would expect that..

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