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- Q36 If Aurora Cannabis, a nondiscriminating imperfectly competitive firm is selling its 150th unit of output for $120, its marginal revenue Multiple Choice cannot be calculated with the information given. will be greater than $120. will also be $120. will be less than $120. may be either greater or less than $120.Respond to the question with a concise and accurate answer, along with a clear explanation and step-by-step solution, or risk receiving a downvote. You are the CEO of a firm operating in a perfectly competitive market with a plant size of 5. Your MC is higher than the MR. Explain what you do for the firm to reach the profit maximizing point? Provide a graph that shows rationale behind your answer. It might be helpful to include in the graph the plant capacity and the amount at which it produces at the lowest point of the MC curve.Answer the following questions based on the data provided below for the competitive firm. Assume that fixed cost is equal to $100. All figures are in dollars. q AVC ATC MC 0 - - - 1 17 117 17 2 16 66 15 3 15 48.33 13 4 14.25 39.25 12 5 14 34 13 6 14 30.67 14 7 15.71 30 26 8 17.50 30 30 9 19.44 30.55 35 10 21.60 31.60 41 11…
- Answer the following questions based on the data provided below for the competitive firm. Assume that fixed cost is equal to $100. All figures are in dollars. q AVC ATC MC 0 - - - 1 17 117 17 2 16 66 15 3 15 48.33 13 4 14.25 39.25 12 5 14 34 13 6 14 30.67 14 7 15.71 30 26 8 17.50 30 30 9 19.44 30.55 35 10 21.60 31.60 41 11…What is the profit maximization for apex firm if we have the following data quantitiy /unit ={0,1,2,3,4,5,6,7,8,9,10} total variable cost =[0,100,180,220,300,390,500,640,800,1000,1250} 2. If the market price dropped to $80, what is the profit-maximizing level of output? What is Apex’s profit (or loss) in this case?3. If the market price dropped further to $40, what is the profit-maximizing level of output? What is Apex’s profit (or loss) in this case?4. Comment on your answers to parts (2) and (3)Airbus owns 2 plants and has contracted to produce 10 airplanes next year. The cost per airplane at plant 1 is given by 17 + (q1/10) and the cost per airplane at plant 2 is 7 + q2. No matter how Airbus allocates the production of its planes across the 2 plants, it costs at least as much per plane to produce planes at plant 1 as at plant 2. Therefore, Airbus should shut down plant 1. True, false, or uncertain? Explain and show your work.
- Answer the following questions based on the data provided below for the competitive firm. Assume that fixed cost is equal to $100. All figures are in dollars. q AVC ATC MC 0 - - - 1 17 117 17 2 16 66 15 3 15 48.33 13 4 14.25 39.25 12 5 14 34 13 6 14 30.67 14 7 15.71 30 26 8 17.50 30 30 9 19.44 30.55 35 10 21.60 31.60 41 11…Refer to the above figure. Profits for this firm areSelect one:A.negative.B.zero.C.positive.D.undetermined without more information.Refer to the above figure. Profits for this firm are
- Modified True or False: State whether each statement is true or false. If the statement is false, briefly explain why it is so, and then restate it to make it true. Zero economic profit implies zero accounting profit.Zippy is earning $25,000 per year working for Joe's Car Repair. He also has savings of $150,000, on which he is earning 10% annual interest. He decides to leave Joe's Car Repair to invest his savings in starting his own car repair business. In the first year, Zippy's Speedy Car Repair ears revenues of $200,000 and has explicit costs of $100,000. Zippy's economic profit (or loss) in the first year is $. (round your answer to the nearest dollar. )The sole proprietor of the bookstore receives all accounting profits earned by her firm and a $28,000-a-year salary she pays herself. She has a standing salary offer of $44,000 a year if she agrees to work for a large corporation. If she had invested her capital company, she estimates that would have returned $32,000 a year. Last year, her accounting profit was $60,000. What was her economic profit? (Show your steps)
