utput? What is the profit? b. Given the price is $20, what will happen in the long run? c. At the long-run equilibrium, what will the price be in the long run? What is the profit-maximizing output? What is the profit of the company?

Economics:
10th Edition
ISBN:9781285859460
Author:BOYES, William
Publisher:BOYES, William
Chapter24: Perfect Competition
Section: Chapter Questions
Problem 1E
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A company in a competitive market has fixed costs of $200. A total cost curve is given in the table below. Given the data, answer the questions below. Output: 10 20 30 40 50 60 Total Cost:300 420 560 720 900 1100

a. Given the price is $20, what is the profit-maximizing output? What is the profit?

b. Given the price is $20, what will happen in the long run?

c. At the long-run equilibrium, what will the price be in the long run? What is the profit-maximizing output? What is the profit of the company?

d. Prepare marginal cost schedule cost schedule for the firm.

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