Profit equals revenue minus cost. We have looked at costs. We now turn to revenue. Let us assume that firm S is a price In other words, it faces a (i) downward-sloping / horizontal (ii) demand curve / supply curve (Delete as appropriate.) Let us assume that it faces a market price of £2 per unit for its product. What is its total revenue from selling: (i)    5 units?                                                                                               ................................ (ii) 8 units?                                                                                               ................................ (c)    What shape is its total revenue curve? ................................................................

Q: Q)Assume that a competitive firm has the total cost function: TC=1q^3−40q^2+740q+1600 Suppose the…

A: Answer: Given, Price = $650 per unit Total cost function: TC=1q^3−40q^2+740q+1600 Quantity Total…

Q: Q: determine whether the following statements are true or false: a) Average fixed costs increase…

A: Fixed cost(FC) do not change in the short run regardless of the volume produced or sold. Market…

Q: A firm faces the following average revenue (demand) curve: P= 130 - 0.02Q where Q is weekly…

A: Firm maximizes profit by producing at a point where marginal revenue is equal to marginal cost

Q: QUESTION SEVEN The average total cost of producing a commodity is given by ATC = 1000'g + 100 -…

A: As per the policy , we are allowed to solve the first three parts in case multiple sub parts.

Q: Assume that marginal revenue equals rising marginal cost at 100 units of output. At this output…

A: Firms operating in a market incur fixed costs and variable costs. Fixed costs will not change if…

Q: Assume that marginal revenue equals rising marginal cost at 100 units of output. At this output…

A: The profit-maximizing level of output is obtained at the point where the marginal cost equals the…

Q: Assume a competitive firm faces a market price of $100, a cost curve of: C= 0.25q? + 50q + 1,600 and…

A: Profit is the difference between the Total Revenue and the Total Cost of a firm. Per unit profit is…

Q: In a perfectly competitive and constant cost industry, all firms are identical. If the market demand…

A: Answer: market demand : QD = 600-Pfirm cost: TC = q3 - 20q2 + 120q (a) Firm equilibrium production…

Q: Suppose a firm operating in a perfectly competitive industry has costs in the short run given by:…

A: Short-run total cost = 8 + 0.5Q1/2 MC = Q Demand function =  1000 - 100P 1) The short-run supply…

Q: Discuss the importance of price elasticity of demand, income elasticity of demand and cross price…

A: Since you have posted multiple questions we are answering, only the first one, repost the remaining…

Q: a) At what output is the firm’s profit maximised and  How much profit is made at this output?    (b)…

A: 1) Profit = TR -TC  Higher the gap between total revenue and total cost, higher will be the profits.…

Q: In a competitive market, the long-run demand is given by P = 20 - (0.01)*q Firms in the industry…

A: Given information Long run demand function P = 20 - (0.01)*q Cost function C = q3 - 5q2 + 10q

Q: A business has found that it can sell 680 items if it sets its price to $66.9. However, if it lowers…

A: When the price is $66.9, then the quantity sold is 680 items. When the price is $40.19 then the…

Q: A price-setting firm faces a downward-sloping demand curve described by the equation P = 100 - Q.…

A: Under a monopoly, there exists only one seller and a large number of buyers and products sold are…

Q: Bavarian Crystal Works designs and produces crystal wine decanters for export to international…

A: Answer: Given, Demand function: P=1,000-0.0025Q Fixed cost = $1,000,000 Variable cost = $200 per…

Q: The total Revenue curve of a firm is R(q) = 40q -12q^2 and its average cost A(q) = 1/30q^2 – 12.85q…

A: Given  Total Revenue (TR) = 40q - 12q2 Average Cost (AC) = (1/30)q2 - 12.85q + 20 + 400/q

Q: has established that the relationship between the price for one of its products is approximately. In…

A: P = 88.5 - 0.08D0.75 Fixed Cost = 45,000 Variable Cost = 45 per unit

Q: Your college newspaper, The Collegiate Investigator, sells for 90¢ per copy. The cost of producing x…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: A firm’s cost equation is given by TC = 200 + 10Q.  The price elasticity of demand is -2.  What is…

A: Given, Price elasticity of demand (Pe) = -2 TC = 200 + 10Q

Q: 1- Suppose that the total cost function of a firm is given as follows; TC = 500 + 2Q2 And the price…

A: (Note: Since the question has multiple parts the first three has been solved. Please resubmit the…

Q: Suppose that the demand functions facing a n product firm are as follows: Q, = 40 – 2P, + P2 %D Q2 =…

A: The following problem has been answered as follows:

Q: • Suppose you are the manager of a watchmaking firm operating in a perfectly competitive market. •…

A: In perfect competition, eqm q(quantity) is found by the intersection of MC(marginal cost) and…

Q: A company is the sole producer of holographic TVs. The daily demand for these TVs is Q=10,200 -…

A: A company is the sole producer of holographic TVs. The daily demand for these TVs is…

Q: Assume a competitive industry is initially at its long-run equilibrium, given the inverse market…

A: The given question has not been written properly.

Q: Suppose there are 100 firms each with a short run total cost of STC = q² +q + 10, so that marginal…

A: (a)  P = MC is the short run supply curve for a perfectly competitive firm.  => P = 2q + 1 =>…

Q: A donut shp has a fixed cost of $92000 per day and a varibale cost of $2 for each donut produced. If…

A: Fixed cost per day is $92000 Variable cost for each donut is $2 Price for each donut is $5 For…

Q: A firm has revenue given by R(q) = 280g - 30 and its cost function is C(g) = 500 + 10q. What is the…

A: Profit refers to the difference between total revenue and total cost. Profit is maximised at a point…

Q: A company manufacturing laundry sinks has fixed costs of $100 per day but has total costs of $2,500…

A: Profit maximizing level of output is at the point where marginal cost MC equals marginal revenue MR.…

Q: A firm has short-run costs such that the lowest average variable cost it has for any quantity…

A: For a competitive firm. Total revenue is  TR(q)=Pq a. Marginal revenue is MR(q)=dTR(q)dq=P

Q: The total revenue curve of a firm is R(q) = 40q − 12q2 and its average cost A(q) = 1/30 q2 − 12.85q…

A: R(q) = 40q − 12q2  A(q) = 1/30 q2 − 12.85q + 20 + 400/q Total cost = A(q) * q

Q: A company manufactures and sells x cellphones per week. The weekly price-demand and cost equations…

A: In part A, we are maximizing the total revenue of the firm and in part B we are maximizing the total…

Q: When a firm produces one more unit of output the total revenue increases from $805 to $965, and the…

A: The profit of a firm is given by the total revenue received from selling the products that are…

Q: A profit-maximising firm faces a downward-sloping demand curve for its output and  has marginal…

A: A perfect competition is a structure of a market in which there are many sellers and buyers. The…

Q: A price-setting firm faces a demand curve described by the equation P = 100 - 5Q and its total…

A: TC = 12 + 30q MC = dTC/dQ = 30 P = 100 – 5q TR = P * q = (100 – 5q) * q = 100q – 5q2 MR = dTR/dQ =…

Q: If profit is maximum at sales of 700 units, does the firm have no choice but to limit sales at this…

A: Hi! thanks for the question but as per the guidelines, we can answer only one question at one time.…

Q: Assume the following Demand Function: q+ 10p = 1250 Assume the following Average cost curve: 1000 AC…

A: Profit is maximized at a level where marginal revenue is equal to marginal cost.

Q: Please diagram the revenue and profit situation (which would also include the cost curves) for a…

A: If the quantity demand for an item changes dramatically when the price of the good rises or falls,…

Q: Assume that the marginal revenue equals rising marginal cost at 100 units of output. At this output…

A: The income gained by increasing product sales by one unit is referred to as marginal revenue in…

Q: Suppose the marginal cost and marginal revenue (in ¢000) for a product produced by a company is…

A: Given: MC=q+35 (in ¢000)  MR=560+22q−q2 (in ¢000)

Q: A firm's demand function for a certain good is given by P=100e1. Its total cost function is…

A: A firm's output is maximized at the point where: Marginal Revenue (MR)=Marginal Cost (MC) MC curve…

Q: Bitcom, a manufacturer of electronics, estimates the following relation between marginal cost of…

A: "Since you have asked a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Wakanda is a firm that solely supplies vibranium to Marley and Paradis. The demand function of the…

A: The profit is maximized where the MR=MC.

Q: Given Cost and Revenue functions C(q)=q^3-11q^2+55q+5000 and R(q)=−3q^2+2400q, what cost is incurred…

A: Hi there , as per our guidelines we are only allowed to solve up-to 3 sub parts of a question at a…

Q: For output levels of 1, 2, 3, 4, 5 and 6 units, a competitive firm's total costs are $142, $172,…

A: Profit maximize when MC = MR  MC is marginal cost and calculated by  MC = (TCn  - TCn-1)/(Qn - Qn-1)…

Q: Which of the following statements is correct with respect to profit maximization? PLEASE EXPLAIN…

A: In economics, an individual will enter into a transaction if he is able to generate profit from it.…