Question in image. Been stuck on for hours. If you don't understand how to solve, let someone else answer it instead of rejecting questionWarm regards. The market supply in the perfectly competitive market for Ramen noodle bowls is P=8+5Q. In thismarket, 25 units are bought and sold. Consider the firms who sold goods in this market. What is themaximum value of their Marginal Cost for the goods they sold? Enter a number only, do not includethe $ sign.Correct!133prrect Answer133 margin of error +/- 0.1Producers will supply the good as long as their marginal cost is the price they will get for theirgoods. If the quantity in the market is Q, then supply curve gives us the marginal cost for theQth unit sold. Plug the quantity into the supply curve and solve for P. The maximum marginalcost can be is this P. Anything higher and producer will not bring their goods to the market.Notice that they sell the good even if Marginal Cost is equal to the price P.

P=8+5Q Apply 25 as Q in the equation

The market supply in the perfectly competitive market for Ramen noodle bowls is P=8+5Q. In this market, 25 units are bought and sold. Consider the firms who sold goods in this market. What is the maximum value of their Marginal Cost for the goods they sold? Enter a number only, do not include the $ sign.

The market supply in the perfectly competitive market for Ramen noodle bowls is P=8+5Q. In this market, 25 units are bought and sold. Consider the firms who sold goods in this market. What is the maximum value of their Marginal Cost for the goods they sold? Enter a number only, do not include the $ sign.

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter19: Externalities And Public Goods

Section: Chapter Questions

Problem 19.1P: A firm in a perfectly competitive industry has patented a newprocess for making widgets. The new...

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