What price does this firm charge its customers

Assignment Help Business Economics

Reference no: EM13885875

A firm has $2,000,000 in sales, a Lerner index of 0.56, and a marginal cost of $35, and competes against 900 other firms in its relevant market.

Instruction: Round your answers to 2 decimal places.

a. What price does this firm charge its customers?

b. By what factor does this firm mark up its price over marginal cost?

Reference no: EM13885875

Questions Cloud

What is the equivalent annual worth of the savings : A construction firm can achieve a $15,000 cost savings in Year 1 and increasing by $2,000 each year for the next 5 years by upgrading some equipment. At an interest rate of 10%, what is the equivalent annual worth of the savings?

Music files are nonrival and effectively nonexcludable : The free-rider concept occurs when a person enjoys the benefits of a good or service without paying for it. Music files are nonrival and effectively nonexcludable, thus creating a free-rider problem. Do you concur that the best solution is for the co..

State an integral quantity for each of the laws : There are three basic laws in our study of fluid mechanics: the conservation of mass, Newton's second law, and the ?rst law of thermodynamics - State an integral quantity for each of the laws and

In the aftermath of the global economic crisis : In the aftermath of the global economic crisis that started to take hold in 2008, U.S. government budget deficits increased dramatically, yet interest rates on U.S. Treasury debt fell sharply and stayed low for quite some time. Does this make sense? ..

What price does this firm charge its customers : A firm has $2,000,000 in sales, a Lerner index of 0.56, and a marginal cost of $35, and competes against 900 other firms in its relevant market. What price does this firm charge its customers? By what factor does this firm mark up its price over marg..

Satisfactory quality the ratio : We have a mixture consistingof 90 mole% 'A' (45 mol/lit) and 10 mole%impurity 'B'(5 mol/lit). To be satisfactory quality the ratio of 'A' to 'B' in the mixture must be 100 to 1or higher.

Candidate proposes to cut taxes : Suppose that a Presidential candidate proposes to cut taxes by $120 billion in his or her first year in office. Assuming that the US is a large open economy and its MPC = 0.8, state the long run impact of this tax cut on Y, C, I, G, NX, r, ε, Sp, Sg,..

What was the major impetus for the irs restructuring : What was the major impetus for the IRS Restructuring and Reform Act of 1998

How large a sphere contains 90 percent of the energy stored : A sphere of radius R has a charge Q distributed uniformly over its surface. How large a sphere contains 90 percent of the energy stored in the electrostatic field of this charge distribution?

User Account

All Pages