The total cost function for a PC firm is as follows:TC-100+80Q-4Q2+0.2Q3What is the minimum price a firm would accept to stay open in the short-run?O P=$60O P=$40O P=$10P=$80

Answer; Option (a) P = $60 is correct

Answered: The total cost function for a PC firm…

The total cost function for a PC firm is as follows: TC=100+80Q-4Q2+0.2Q What is the minimum price a firm would accept to stay open in the short-run? P=$60 O P-$40 O P=$10 P=$80

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter4: Extent (how Much) Decisions

Section: Chapter Questions

Problem 4MC

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Question

The total cost function for a PC firm is as follows:
TC-100+80Q-4Q2+0.2Q3
What is the minimum price a firm would accept to stay open in the short-run?
O P=$60
O P=$40
O P=$10
P=$80

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