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Question: A pie shop in a monopolistically competitive market has a demand curve for their pies given by P = 35 - Q. The variable costs of producing a pie are given by the equation VC = 5Q and so the marginal costs are constant at MC = $5. a) What is the pie shop's pro?t-maximizing output and price?
A company has annual fixed costs of exist2,500,000 and variable costs of 0.15 per unit produced. For the firm to break even if they charge exist1.85.
An individual is considering the purchase of a used car. Total amount of the car is $10,400 and requires $2,400 as a down payment and the balance need to be paid in 60 equal monthly payments with an effective interest rate of 12% per year compounded ..
Suppose you are given the following information about an industry: QD = 8000 - 100p; What is the lowest price firms will sell their goods at in the long run? In other words, what is the long-run industry supply curve? Explain
A manufacturing firm has received a contract to assemble 1000 units of test equipment in the next year. The firm must decide how to organize its assembly.
In 2017, Wildfires destroyed a majority of orange farms, reducing the orange production substantially, and what would be the impacts on consumer surplus?
The problem is from economics and it is explore the Inflation targeting and the difficulty for the Federal Reserve in adopting inflation targeting and whether implementing inflation targeting is good or not is also discussed in the solution.
Why does GDP accounting only include the final value of goods and services produced? What would be the problem if intermediate products were included?
branding iron products a specialty steel fabricator operates a plant in the town of west star texas. the town has grown
The principal of a middle school claims
PMC of producing paint is given by PMC (q) = 10 + 2q. There is a negative externality in the production of paint and the marginal external cost is given.
Please apply demand and supply analysis to answer the following questions related to the U.S. real estate market: What is the impact on residential real estate market after the Fed stopped QE3 (buying bonds monthly from banks) in 2014? Please state t..
The price elasticity of demand for a textbook sold in the United States is estimated to be -2.0, whereas the price elasticity of demand for books.
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