Short run profit maximization a monopolistically

Reference no: EM13378358

Short run profit maximization A monopolistically competitive firm faces the following demand and cost structure in the short run:
Output Price FC VC TC TR Profit/loss
0 $100 $100 $0 ___ ___ ___/___
1 90 ___ 50 ___ ___ ___/___
2 80 ___ 90 ___ ___ ___/___
3 70 ___ 150 ___ ___ ___/___
4 60 ___ 230 ___ ___ ___/___
5 50 ___ 330 ___ ___ ___/___
6 40 ___ 450 ___ ___ ___/___
7 30 ___ 590 ___ ___ ___/___

a. complete the table
b. What is the highest profit or lowest loss availability to this firm?
c. Should this firm operate or shut down in the short run? Why?
d. What is the relationship between marginal revenue and marginal cost as the firm increases output?

Reference no: EM13378358

Questions Cloud

Matt and johnny both purchase pop and chips at the same : matt and johnny both purchase pop and chips at the same convenience store. they have different tastes for pop and chips

Raffies kids a non-profit organization that provides aid to : raffies kids a non-profit organization that provides aid to victims of domestic violence lowincome families and

1 economic analysis that takes into consideration linkages : 1. economic analysis that takes into consideration linkages between markets is called ? a. partial equilibrium

Find the yield to maturity of the following securitiesa a : find the yield to maturity of the following securitiesa. a security paying 1000 in one year for which you pay 926

Short run profit maximization a monopolistically : short run profit maximization a monopolistically competitive firm faces the following demand and cost structure in the

Consider the case of two countries that start with equal : consider the case of two countries that start with equal levels of gdp. the growth rate of the first country is 3 while

Periodically you hear of garbage strikes is garbage pickup : periodically you hear of garbage strikes. is garbage pickup a public good? does garbage create externalities? what

Suppose that in a competitive market for electric power : suppose that in a competitive market for electric power demanded for power is given by the equation p600-q and supply

Evaluate the following statement i am a manager in a : evaluate the following statement i am a manager in a governmental agency. i have no control over compensation policy.

User Account

All Pages