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There are currently 10 identical firms in the perfectly competitve gadget manufacturing industry. Each firm operates in the short run with a total fixed cost of F and total variable cost of 2Q^2, where Q is the number of of gadgets produced by each firm. The marginal cost for each firm is MC=4Q. Each firm has also non-sunk fixed costs of 128. Each firm would just break-even(earn 0 economic profit) if the market price were 40. ( the equilibrium price is not necessaryly 40 when there are 10 firms in the market)
The market demand for gadgets is Qm=180-2.5P, where Qm is the amount purchased in the entire market.
How large is the total fixed costs for each firm?
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