In long-run equilibrium, a purely competitive firm will operate where price is Select one: O O b. a. greater than MR but equal to MC and minimum ATC. greater than MR and MC, but equal to minimum ATC. greater than MC and minimum ATC, but equal to MR. equal to MR, MC, and minimum ATC. O c. O d.
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- In the long-run equilibriumof a competitive market with identical firms,what are the relationships among price P,marginal cost MC,and average cost of ATC? a.P> MCand P>ATC. b P>MCand P= ATC c.P= MCand P> ATC d.P= MCand P= ATCIn the short-run equilibrium of a competitive marketwith identical firms, if new firms are getting readyto enter, what are the relationships among price P,marginal cost MC, and average total cost ATC?a. P > MC and P > ATC.b. P > MC and P 5 ATC.c. P MC 5 and P > ATC.d. P MC 5 and P 5 ATC.Please no written by hand solutions 9. A firm produces a product in a perfectly competitive industry and has a short-run total cost function of SRTC= 50+ 4q+2q. In the short-run, the market equilibrium price is $20 and the firm's profit maximizing quantity is_ Assuming there is no change in cost structure, in the long-run the equilibrium price changes to a. 4; $24 b. 4:$15 c. 5; $24 d. 5:$15 10. The market for sugar consists of 3,500 identical firms, each with the following short-run total cost function: SRTC-1,500+ 35q. The market demand curve for sugar is Q=11,200- 30P. What is each firm's short-run profit? a. So b. $280 c. -$1,080 d. -$1,360 e. -$1,500
- A perfectly competitive industry consists of many identical firms, each with a long-run total cost function of TC = 500Q-20Q^2+0.5Q^3. a. In long-run equilibrium, how much will each firm produce? b. What is the long-run equilibrium price? c. The industry's demand curve is ?? = 48,000 − 60?. How many firms are in the I ndustry? d. If the industry demand decreases to ?? = 30,000 − 80? how will the industry respond?Suppose that a perfectly competitive firm faces a market price of $7 per unit. The output level corresponding to a marginal cost of $7 per unit is 1,000 units. At 1,000 units, its average variable costs equal $8 per unit, and its average fixed costs equal $1 per unit. The firm's profit-maximizing (or loss-minimizing) output level = . Write number only. The firm's economic profit (or loss) at this output level = . Write either profit number or loss number: e.g. profit 2000.A perfectly competitive firm produces good X and has the following weekly cost data. ( Q = total output; TFC = total fixed cost; TVC = total variable cost): Q (units) TFC ($) TVC $ TC ($) ATC $ AVC $ MC $ 0 0 120 1 172 2 219 3 261 4 300 5 342 6 389 7 441 8 499 9 565 10 641 (a) Complete the above table. Round off values to the nearest two decimal places. (b) For each of the following prices determine this firm’s profit- maximising (or loss-minimising) output per week in the short run, and calculate the weekly profit or loss. Show your calculations (to two decimal places). (b.i) $42.50 (b.ii) $47.50…
- Question: In a perfectly competitive market, what is true about the long - run equilibrium? Options: A) Firms earn economic profits in the long run B) Price equals marginal cost for all firms C) There are significant barriers to entry for new firms D) Firms produce at the point where marginal revenue equals marginal cost Note:- Please avoid using ChatGPT and refrain from providing handwritten solutions; otherwise, I will definitely give a downvote. Also, be mindful of plagiarism. Answer completely and accurate answer. Rest assured, you will receive an upvote if the answer is accurate.A perfectly competitive firm produces the level of output at which MR=MC on the rising portion of the firm’s marginal cost curve. At that output level, it has the following costs and revenues: TC = $830,000 VC = $525,000 TR = $428,000 At that optimal level of output, what profit (loss) does the firm earn?A market is in long-run equilibrium and firms in this market have identical cost structures suppose demand in this market decreases. Which of the folowing are coreet descriptors of what happens to tho individual firms and the whole market as the market fist leaves and then returns to long-run equilibrium? Instructions: You may select more than one answer cick the box with a check mark for correct answers and dick to empty the box for the wrong answers. 0 Market proe will decrease in the longrun. O Market quantity will remain the same in the long-run. O Individual firms' profit maximizing output will decrease in the long run. O Firms will exit the market inthe long run. O Individual firms' profit maximizing output wil decrease in the shon-nun. O Market quantity decrease in the long run. o Firms win enter into the market in the long run. O Market price wil decrease in the short-run. References eBook & Resources Leaming objective: 13-08 Calculato the Section Responding…
- In a perfectly competitive market, a firm finds that at its MR=MC output level, the Total Variable Cost (TVC) equals $350, Total Fixed Cost (TFC) equals $100, and Total Revenue equals $650. The firm should Group of answer choices shut down in the short run. continue to produce because it will realize an economic profit. continue to produce because it can still cover its total variable costs.Illustrate short run profit maximization scenerio of a competitive firm in case of loss.Suppose a perfectly competitive firm's demand curve is below its average total cost curve. Explain the conditios under which a firm continues to produces int he short run.