A firm operates in three markets: Nur-Sultan, Karaganda, and Almaty. Each market can be described by the demand equations: qN = 200, 000 –- 1.5P q = 200, 000 – 4P af = 200, 000 – 6P The firm has the following cost structure: Total Cost: TC(q) = 8000 + 4300q + 300q² Marginal Cost: MC(q) = 4300 + 600q. Suppose that there are 9400 identical firms in the market. As usual, in all your calculations and answers, use a precision of 4 decimals.

A firm operates in three markets: Nur-Sultan, Karaganda, and Almaty. Each market can be described by the demand equations: qN = 200, 000 –- 1.5P q = 200, 000 – 4P af = 200, 000 – 6P The firm has the following cost structure: Total Cost: TC(q) = 8000 + 4300q + 300q² Marginal Cost: MC(q) = 4300 + 600q. Suppose that there are 9400 identical firms in the market. As usual, in all your calculations and answers, use a precision of 4 decimals.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter3: Benefits, Costs, And Decisions

Section: Chapter Questions

Problem 9MC

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