What volume of output should the firm produce

Assignment Help Econometrics
Reference no: EM131148025

A competitive firm is facing the market price of $120 and has a short-run total cost function of
TC = 2Q2 + 200. The corresponding MC = 4Q.

(a) Sketch the demand curve, MR curves well as the MC curve as per information above.

(b) What volume of output should the firm produce?

Reference no: EM131148025

Questions Cloud

Discuss the articles findings : Discuss the article's findings, any ethical dilemmas presented in the article, and how the specific topic relates to a biblical worldview.
Is the owner optimism or pessimism about sales : Are there options other than the purchase of additional equipment that should be considered in making the decision to expand the business?
Construct a pro forma income statement and balance sheet : Using the company's financial statements, construct a pro forma income statement and balance sheet for the company using the percentage-of-sales method.
What is the purpose of the responsibility matrix : What is the purpose of the responsibility matrix? Discuss the advantages that you will have as you work on your own project by developing this matrix early in the project
What volume of output should the firm produce : Sketch the demand curve, MR curves well as the MC curve as per information above.
Will steve be able to avoid this transaction : Steve and Bill go out drinking. After Steve has had so many drinks that Bill knows (or should know) that Steve is very intoxicated, Steve says to Bill, "I'll sell you my house for $100,000." Bill accepts. The fair market value of Steve's house is ..
Describe model-driven software development : Describe model-driven software development in your own words. Do the same for test driven development.
Examine the concept of time value of money : Examine the concept of time value of money in relation to corporate managers. Propose two methods in which time value of money can help corporate managers in general.
Evaluate costs factors influencing the company''s decision : Prepare this assignment according to the guidelines found in the APA Style Guide, located in the Student Success Center. An abstract is not required.

Reviews

Write a Review

Econometrics Questions & Answers

  How much better is the best pricing strategy

GeeM has a sporty wheel package and a luxury interior package that is considering offering to its auto boyers. GeeM has estimated that there are three consumer types (A, B, and C - all of equal magnitude - for simplicity, consider it one of each ..

  Explain why the shift may be higher or lower than original

Assume that the federal government increases spending on public works programs, such as highway construction, by $40 billion. How does this change in spending affect the aggregate demand curve Explain why the shift may be higher or lower than the ..

  How to open a savings account to save for new house

You open a savings account to save for a new house. Everymonth you put $100 into a savings account which pays 5%  interest compounded monthly.

  What decision would you recommend to souter why

Develop an Excel spreadsheet that Souter can use to evaluate the economics of the two-part fee structure

  Determine the equivalent annual worth for the investment

A distillation column is purchased for $300,000. The firm finance 40% of the investment with its own resources, and the rest with a loan to be repaid in 10 equal semiannual payments at an interest rate of 6% compounded semiannual. (Hint recall tha..

  Determine firms profix maximizing level of output and price

An oligopoly firm faces a kinked demand curve with segments given by:P=100-Q and P=120-2Q, where P is the price and Q is the quantity demanded. The firm has a constant marginal cost, MC of $45. A. Determine the firm's profix maximizing level of ou..

  Determine the annual effective interest rate

You have just applied for a credit card with the following term and condition: You are to pay 13.9% APR, compounded monthly.If your current balance is $3000 and you skip payments for 2 months, what would be the total balance in your credit card stat..

  How to select the better system based on bc analysis

A city government is considering two types of town dump sanitary systems, as shown below. Select the better system based on BC analysis at 8% social discount rate (same as MARR). Design A Design B Initial investment $400,000 $300,000

  Determine the profit maximizing level of output

a.) Determine the profit maximizing level of output. b.) Compute the profit maximizing price. c.) Calculate the upper and lower limits within which marginal cost may vary without affecting the profit maximizing output or the price.

  What distinguishes the golden rule rate of capital

What distinguishes the golden rule rate of capital accumulation from other steady-state rates of capital accumulation Is the rate at which capital is being accumulated in this economy consistent with the golden rule

  How many years does it take to get inflation down to zero

Suppose unemployment is kept at this higher level. What happens to inflation in year 3? In year 4? How many years does it take to get inflation down to zero? Make a table like the one in the previous problem to show your results.

  Consider an economy that produces only two goods fresh

consider an economy that produces only two goods fresh apricots and dried apricots. in this economy the technology of

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