The total cost function of a perfectly competitive firm is TC=100+10*Q+5*0^2 For what time period does the function apply? What is the equation of the marginal cost function? If the market price is 50, what is the optimal production quantity of the firm? What is the value of total revenue at the profit maximum? What is the value of total cost at the profit maximum? Will be negative or positive value of the profit at the profit maximum? In the short run, does the company decide to produce (at profit max level)? Which minimum value indicates the shutdown point? Use the following set of options to answer the above questions: long run 100 short run AVCmin ACmin maybe 4 220 positive yes MCmin no 100 years 10+5*Q 200 10+10*Q Qmin
The total cost function of a
For what time period does the function apply?
What is the equation of the marginal cost function?
If the market price is 50, what is the optimal production quantity of the firm?
What is the value of total revenue at the profit maximum?
What is the value of total cost at the profit maximum?
Will be negative or positive value of the profit at the profit maximum?
In the short run, does the company decide to produce (at profit max level)?
Which minimum value indicates the shutdown point?
Use the following set of options to answer the above questions:
long run
100
short run
AVCmin
ACmin
maybe
4
220
positive
yes
MCmin
no
100 years
10+5*Q
200 10+10*Q
Qmin
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