What are competitive market outputs of x and y

Assignment Help Business Management
Reference no: EM132606023

A soot-spewing factory that produces steel windows is next to a laundry. Assume that the factory faces a prevailing market price of PX = $40. Its total cost function is C = X2,where X is window output. The laundry produces clean wash, which it hangs out to dry. The soot from the window factory smudges the wash, so the laundry has to clean it again. This increases the laundry's costs. In fact, the total cost function of the laundry is C = Y 2 + 0.05X, where Y is pounds of laundry washed. The demand curve faced by the laundry is perfectly elastic at a price at PY = $10 per pound.

(a) What outputs X and Y would maximize the sum of the profits of these two firms? Assume the two firms were run by the same management.

(b) What are competitive market outputs of X and Y ?

(c) What per-unit tax would we need to set on window production to obtain the outputs found in part a of this problem?

Reference no: EM132606023

Questions Cloud

What are the total prepaid expenses on balance sheet on may : What are the Total Prepaid Expenses on the Balance Sheet on May 31? Carpenter Printing signed a 1 year insurance contract for a comprehensive
Explaining ordering-gasoline-exxon gas : Arrange the following goods from least to most elastic, explaining your ordering: gasoline, Exxon gas, Exxon gas at a particular gas station.
What are the five fundamental reasons : What are the five fundamental reasons that government may care about the number of uninsured? Discuss.
What are the total expenses on the income statement on may : On April 28, Carpenter Printing signed a 1 year rental contract for office space, What are the Total Expenses on the Income Statement on May 31?
What are competitive market outputs of x and y : What outputs X and Y would maximize the sum of the profits of these two firms? Assume the two firms were run by the same management.
Impact of supply chain management and organization theory : The impact of supply chain management and organization theory in the successful pursuit of company objectives - focus on the one part of GOOGLE Company
What is the total revenue on the income statement on june : On June 12, Carpenter Printing printed $17,712 in magazines for the Pierre Company. What is the Total Revenue on the Income Statement on June 30?
What is price-wage rigidity : What is price-wage rigidity? Do you agree with Keynes assessment that wage-price rigidity requires government's involvement in the markets?
How do prepare a statement of retained earnings : Prepare the journal entry to correct the error?On July 9, 2021, Sheridan Enterprises Inc. discovered it had recorded the $70,000 purchase of land

Reviews

Write a Review

Business Management Questions & Answers

  Determine best way to allocate a monthly advertising budget

The Sea Wharf Restaurant would like to determine the best way to allocate a monthly advertising budget of $1000 between newspaper advertising and radio

  What are major types of networks and explain

Please find the below question and answer please thank you. What are major types of networks and explain?

  Observe your results and determine whether you believe

Observe your results and determine whether you believe this kind of personality test is beneficial to an organization. Support your position.

  Additional power with its chinese suppliers

1. How else could a foreign retailer exert additional power with its Chinese suppliers (and not face government restrictions)? 2. How can foreign retailers successfully position themselves in China?

  What are the pros and cons to bmw''s selective target market

What are the pros and cons to BMW's selective target marketing? What has the firm done well over the years and where could it improve?

  Major consumer technology corporation

You are the CEO of a major consumer technology corporation. The company is global and offers remote employment, in addition to numerous physical

  Conduct an internal and external environmental analysis

Conduct an internal and external environmental analysis for your proposed new division and its business model. Critique how well organization adapts to change.

  Quantity demand falls by one-half percent

If the price of textbooks increase by one percent and the quantity demand falls by one-half percent, then the demand for textbooks in?

  It security manager working with the database administrator

What do you consider to be the most important policies to adopt in order to secure your company's data? Explain your choices.

  What steps the appreciative inquiry consultant could have

What steps do you think the Appreciative Inquiry consultant could have taken to make the consulting process go better? Refer to the specific "4 Ds" of Appreciative Inquiry in your answer.

  Describe specific qualitative methods

Describe specific qualitative methods and tools that could be used within your discipline to gather data. Include your rationale.

  Describe the five ways to manage conflict

Describe the five ways to manage conflict. Explain your personality type (Myers-Briggs Typology) and then describe what would be the most likely way for you to manage conflict.

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!

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