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Calculate the equilibrium price in the market

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Reference no: EM132543342

A perfectly competitive market is described by the demand Q = 60 - 2P and the supply curve Q = 5P - 10.

A firm in the market has a total cost equation of C = 16 + Q2 + 2Q

a. Calculate the equilibrium price in the market.

b. Calculate the profit-maximizing output for the firm.

c. Compute the firm's total profit.

d. Can this outcome persist in the long-run? Explain.

Reference no: EM132543342

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