Firm and industry supply schedules, Managerial Economics

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Firm and industry supply schedules

The plan or table of possible quantities that will be offered for sale at different prices by individual firms for a commodity is called supply schedule.

                          Price Per Unit                                                  Quantity offered for

                             (KShs)                                                                     Sales per month (in '000)

      20                                                                   10

                                      25                                                                    20

                                      30                                                                    30

                                      35                                                                    40

                                      40                                                                    50

                                      45                                                                    60

                                      50                                                                    70

Table :       The Firm Supply Schedule

Theoretically the supply schedules of all firms within the industry can be combined to form the market or industry supply schedule, representing the total supply for that commodity at various prices.

                         Price per unit                                                               Quantity offered for

                            (KShs)                                                                      Sales per month (in '000)

                                    20                                                                            80

                                    25                                                                            120

                                    30                                                                            160

                                    35                                                                            200

                                    40                                                                            240

                                    45                                                                            285

                                    50                                                                            320

Table :  The Industry supply schedule

These prices are called the supply prices.


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