User Account

All Pages

Find the firm optimal output

Assignment Help Microeconomics
Reference no: EM13881066

Suppose a firm's inverse demand curve is given by P = 120 - .5Q and its cost equation is C = 420 + 60Q + Q2:

a. Find the firm's optimal quantity, price, and profit (1) by using the profit and marginal profit equations and (2) by setting MR equal to MC. Also provide a graph of MR and MC.

b. Suppose instead that the firm can sell any and all of its output at the fixed market price P = 120. Find the firm's optimal output.

Reference no: EM13881066

Questions Cloud

Determine os profit-maximizing output : A rival publisher has raised the price of its best-selling accounting text by $15. One option is to exactly match this price hike and so exactly preserve your level of sales. Do you endorse this price increase?
Control systemthat is based on socialization of organization : A control system that is based on socialization of organizational members is:
What kind of research design is being used : What kind of research design is being used? Is it a good choice? Do you think it was ethical for the researchers not to disclose the identity of the sponsoring organization
Which of the six major functional areas apply to the network : Apply the concept of Cisco Enterprise Architecture to the new network design. Which of the six major functional areas apply to this network?
Find the firm optimal output : Find the firm's optimal quantity, price, and profit (1) by using the profit and marginal profit equations and (2) by setting MR equal to MC. Also provide a graph of MR and MC.
Rate of heat transfer to the water : If the tube surface temperature is Ts = 350 K and the gas-side convection coefficient is hg = 30 W/m2 · K, what is the rate of heat transfer to the water per meter of pipe length?
What fares should the airline charge : What fares should the airline charge, and how many passengers will buy tickets of each type? Remember that maximum revenue is obtained by setting MRB equal to MRE
Differences between groups and teams how do we convert : Let's discuss the differences between groups and teams. How do we convert a group to a team? What benefits might come from this conversion in a business environment?
Determining the outlet temperature of the process fluid : Estimate the outlet temperature of the process fluid. Tm,o. Assume, and then justify, fully developed flow and thermal conditions within the tube.

Reviews

Write a Review

Microeconomics Questions & Answers

  The free rider problem

Question: Explain why the free rider problem makes it difficult for perfectly competitive markets to provide the Pareto efficient level of a public good.

  Failure of the super committee is good thing for economy

Some commentators have argued that the failure of the “Super committee” is good thing for the economy?  Do you agree?

  Case study analysis about optimum resource allocation

Case study analysis about optimum resource allocation: -  Why might you suspect (even without evidence) that the economy might not be able to produce all the schools and clinics the Ministers want? What constraints are there on an economy's productio..

  Fixed cost and vairiable cost

Questions:  :   Which of the following are likely to be fixed costs and which variable costs for a chocolate factory over the course of a month?  Explain your choice.

  Problem - total cost, average cost, marginal cost

Problem - Total Cost, Average Cost, Marginal Cost: -  Complete the following table of costs for a firm.  (Note: enter the figures in the  MC   column  between  outputs of  0 and 1, 1 and 2, 2 and 3, etc.)

  Oligopoly and demand curve problem

Problem based on Oligopoly and demand curve,  Draw and explain the demand curve facing each firm, and given this demand curve, does this mean that firms in the jeans industry do or do not compete against one another?

  Impact of external costs on resource allocation

Explain the impact of external costs and external benefits on resource allocation;  Why are public goods not produced in sufficient quantities by private markets?  Which of the following are examples of public goods (or services)? Delete the incorrec..

  Shifts in demand and movements along the demand curve

Describe the differences between shifts in demand and movements along the demand curve. What are the main factors which can shift the demand curve? Explain why they cause the demand curve to shift. Use examples and draw graphs to support your discuss..

  Article review question

Article Review Question: Read the following excerpts from the article "Fruit, veg costs surge' by Todd, Dagwell, published in the Herald on January 25th 2011 and answer questions below:

  Long-term growth, international trade & globalization

Long-term Growth, International Trade & Globalization:- This question deals with concepts such as long-term growth, international trade and globalization. Questions related to trade deficit, trade surplus, gains from trade, an international trade sce..

  European monetary union (emu) in crisis

"Does the economic bailout of Spain and Greece spell the beginning of the end for the European Monetary Union (EMU)?"

  Development game “settlers of catan”

Read the rules of the game, the overview and the almanac for the Development Game "Settlers of Catan"

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd