A Milton company works in perfect competition market, its total cost curve in short run is given in this function: TC = 200 − 4Q + 0.5Q2 a. What output level should the firm produce to maximize profit? knowing that averagerevenue is $10. b. What is the firm profit at this level of output?
A Milton company works in
given in this function:
TC = 200 − 4Q + 0.5Q2
a. What output level should the firm produce to maximize profit? knowing that averagerevenue is $10.
b. What is the firm profit at this level of output?
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Suppose the production function for high quality brandy is given by :
Q = √KLWhere q is the output of brandy per week and L is labor hours per week ., in the short run K is fixed at 100, so the short run production function is Q = 10√L
a. If the capital rents for 10$ and the wage are 5$per hour ., write the short run total cost function.
b. How much will the firm produce at a price of 20$ per bottles of brandy ?
c. How many labor hours will be hired per week?
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A Milton company is a clothing company, below is a table (attached in a picture) that shows the production and that costs of this company that works in competitive market in short run:
a. Calculate P, TR, MR, TVC, TF,
b. Show P, ATC,
c. What is the output level that should this firm produce to maximize its profits?calculate the amount of profits at this level of output.
d. Determine the shutdown price and calculate the
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