Determine optimal price, quantity and economic profit, Microeconomics

Assignment Help:

Determine Optimal Price, Quantity and Economic Profit

A firm has a demand function P = 200 – 5Q and cost function:  AC=MC=10 and a potential entrant has a cost function: AC=MC=20.

a. Determine the optimal price, quantity and economic profit for the firm in the short run.
b. If the firm wants to preclude all entry into the market what price, quantity and profit will it choose?
c. What price, quantity, and corresponding profit occur if this a purely Competitive market?
d. Assuming the demand function is identical for all buyers, determine the two-part tariff that maximizes profit for the firm.
e. Determine the optimal price, quantity and economic profit for the firm if it is a pure  monopolist.


Related Discussions:- Determine optimal price, quantity and economic profit

CIRCULAR FLOW OF INCOME, DRAW A SIMPLE CIRCULAR FLOW DIAGRAM AND DISCUSS BR...

DRAW A SIMPLE CIRCULAR FLOW DIAGRAM AND DISCUSS BRIEFLY THE DISTINCTION BETWEEN AN INJECTION INTO THE FLOW AND A LEAKAGE FROM IT

Money multiplier, Should the bank not have anyone to lend the demand deposi...

Should the bank not have anyone to lend the demand deposit to (like that will ever happen) would the size of the money multiplier decrease? If so, why?

Curves, how to map the curves

how to map the curves

What is meant by labor force, What is meant by labor force?    In econom...

What is meant by labor force?    In economics the labor force is the group of people who have a potential for being employed. Normally, the labor force having of everyone above

Describe the labour market information, Question 1: a) Describe the lab...

Question 1: a) Describe the labour market Information. b) What are the basic factors that affect the labour market trend? c) Explain the influence of these factors on th

Price mechanism, discuss how the price mechanism allocate resources in a fr...

discuss how the price mechanism allocate resources in a free market system

#titleindirect utility function .., #question.hif indirect utility function...

#question.hif indirect utility function is givenhow to derive the demand function .

Average labor productivity, can average labor productivity fall even though...

can average labor productivity fall even though total output is rising

Impact of economic reforms on labour, Impact of Economic Reforms on Labour:...

Impact of Economic Reforms on Labour: It would be of interest to study the industrial relations scenario in the pre-reform and post-reform period. Data provided in table 8.4 r

Write Your Message!

Captcha
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