Firm maximizing profit, Macroeconomics

Assignment Help:

A firm with two factories, one in Michigan and one in Texas, has decided that it should produce a total of 500 units to maximize profit. The firm is currently producing 200 units in the Michigan factory and 300 units in the Texas factory. At this allocation between plants, the last unit of output produced in Michigan added $5 to total cost, while the last unit of output produced in Texas added $3 to total cost.
Is the firm maximizing profit? If the firm produces 201 units in Michigan and 299 in Texas, what will be the increase (decrease in the firm's total cost?


Related Discussions:- Firm maximizing profit

State in brief the nominal wage level, State in brief the Nominal wage leve...

State in brief the Nominal wage level In macroeconomics, we are generally not interested in the wage for a specific individual though in the average wage for all employed indi

Help needed, what are the advantages and disadvantages of unemployment

what are the advantages and disadvantages of unemployment

Trade unions, what reasons limit the bargaining power of trade union in dev...

what reasons limit the bargaining power of trade union in developing countries

Macroeconomic Analysis, Derive the conditions for steady state in the Solow...

Derive the conditions for steady state in the Solow model. What are its implications? In what respects is the golden rule different from the steady state?

Answer for this only assignment question in (3000 words), Question 3 (44 ma...

Question 3 (44 marks) Please note that this question requires substantial research. A summary from the text book is not sufficient. To score well you will have to consult several a

IS LM curve, example on the calculation of IS LM Curve?

example on the calculation of IS LM Curve?

Baumal''s sales revenue maximizaion mode4l, Revenue Maximisation Assignment...

Revenue Maximisation Assignment Help Objectives of the Firm - Baumol''s Model of Sales Revenue Maximisation Baumol''s Model of Sales Revenue Maximisation Baumol presented sales r

Unemployment, Assume an economy that is operating above full employment. A....

Assume an economy that is operating above full employment. A. Draw a correctly labeled AD/AS graph showing: i. the problem in the economy ii. current price level and output iii. fu

Overnight interest rates targets and money supply, Q. Overnight interest ra...

Q. Overnight interest rates targets and money supply? There are many ways to explain the significant connection between overnight interest rate target and money supply. We will

Economic system is the best solution, Which economic system is the best sol...

Which economic system is the best solution to handling a crisis of epic proportion?

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