Based on the table below for a perfectlycompetitive firm:QuantityFixed Variable TotalCost CostCostMarginal Cost****:|1020200 50200 100250300 5500 201000X****3040200 300200 800(a) Find the marginal cost as X.(b) If the equilibrium price is $20, find theprofit maximizing quantity.(c) How much profit will the firm earn?

Marginal Cost = Change in Total Cost / Change in Quantity X = (1000-500)/(40-30) X = 500/10 = 50…

Based on the table below for a perfectly competitive firm: Fixed Variable Total Quantity Cost Cost Marginal Cost Cost ***** 10 20 30 40 200 50 200 100 200 300 200 800 250 300 5 *** 500 20 1000 X (a) Find the marginal cost as X. (b) If the equilibrium price is $20, find the profit maximizing quantity. (c) How much profit will the firm earn?

Based on the table below for a perfectly competitive firm: Fixed Variable Total Quantity Cost Cost Marginal Cost Cost *** 10 20 30 40 200 50 200 100 200 300 200 800 250 300 5 * 500 20 1000 X (a) Find the marginal cost as X. (b) If the equilibrium price is $20, find the profit maximizing quantity. (c) How much profit will the firm earn?

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter14: Monopoly

Section: Chapter Questions

Problem 3PA

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