This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: A perfectly competitive firm has total revenue and total cost curves given by: TR = 100Q TC = ... (Read 33 times)

frankwu

  • Hero Member
  • *****
  • Posts: 549
on: Jul 1, 2018
A perfectly competitive firm has total revenue and total cost curves given by:
 
  TR = 100Q
   TC = 5,000 + 2Q + 0.2 Q2
 
  a. Find the profit-maximizing output for this firm.
  b. What profit does the firm make?

Question 2

Which of the following examples best illustrates the concept of derived demand?
 
  A) An increase in the price of beef results in an increase in the demand for fish.
  B) The higher the demand for automobiles, the greater the demand for steel.
  C) The demand for Pepsi varies directly with the price of Coke.
  D) The demand for a good varies inversely with its price.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

memslove

  • Sr. Member
  • ****
  • Posts: 321
Reply #1 on: Jul 1, 2018
Answer to Question 1

a. MR = 100
MC = 2 + .4Q
100 = 2 + .4Q
Q = 245
b. Profit = 100  245 - 5,000 - 2(245 ) - 0.2 (245 )2 = 7,005

Answer to Question 2

B


frankwu

  • Member
  • Posts: 549
Reply 2 on: Jul 1, 2018
Gracias!

yeungji

  • Member
  • Posts: 319
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Hypertension is a silent killer because it is deadly and has no significant early symptoms. The danger from hypertension is the extra load on the heart, which can lead to hypertensive heart disease and kidney damage. This occurs without any major symptoms until the high blood pressure becomes extreme. Regular blood pressure checks are an important method of catching hypertension before it can kill you.

Did you know?

HIV testing reach is still limited. An estimated 40% of people with HIV (more than 14 million) remain undiagnosed and do not know their infection status.

Did you know?

Carbamazepine can interfere with the results of home pregnancy tests. If you are taking carbamazepine, do not try to test for pregnancy at home.

Did you know?

Most childhood vaccines are 90–99% effective in preventing disease. Side effects are rarely serious.

Did you know?

Chronic marijuana use can damage the white blood cells and reduce the immune system's ability to respond to disease by as much as 40%. Without a strong immune system, the body is vulnerable to all kinds of degenerative and infectious diseases.

Compression ratio is the ratio of the total cylinder volume (when the piston is at the bottom of ... Compression ratio is the ratio of the total cylinder volume (when the piston is at the bottom of ...
Find the lateral area, total surface area, and volume of the frustum Find the lateral area, total surface area, and volume of the frustum
Total allowable and actual catch, Grand Bank Atlantic Cod 1959 -2012 Total allowable and actual catch, Grand Bank Atlantic Cod 1959 -2012
Infant formula is available in several forms and varies in cost and ingredients Infant formula is available in several forms and varies in cost and ingredients
A 2.8-kg tool can move on a perfectly smooth ramp that slants at 42° above the horizontal. ... A 2.8-kg tool can move on a perfectly smooth ramp that slants at 42° above the horizontal. ...
A wave whose wavelength is 0.500 m is traveling down a 500-m long wire whose total mass is 25 ... A wave whose wavelength is 0.500 m is traveling down a 500-m long wire whose total mass is 25 ...
Video: HDL (high density lipoprotein)

For a complete list of videos, visit our video library