What is the meaning of ‘acceptable loss’ for a perfectly competitive firm ? Draw a graph and explain.

Q: What are the assumptions of a perfectly competitive market. List them and explain each of them with…

A: Types of market structure that prevails in the market are perfect competition, monopoly, oligopoly…

Q: 5. A perfectly competitive firm faces a _______ demand curve for its product. a. vertical   b. unit…

A: Option E  A perfectly competitive firm faces a horizontal demand curve for its product. This means…

Q: 1. Draw a graph representing a perfectly competitive firm earning an economic profit. (Make sure to…

A: When all companies sell identical products, market share has no bearing on price, companies can…

Q: 1.  Explain how the long run differs from the short run in pure competition. 2.  The basic model of…

A: 1. In the short run, when plants and gear are fixed, the organizations in an absolutely competitive…

Q: QUESTION 7 • Explain the ettect of an increase in demand in a perfectly competitive market in the…

A: The perfectly competitive market is the market structure where a large number of firms compete in…

Q: A perfectly competitive firm's demand curve is perfectly elastic at the market-determined price.…

A: Given  The statement is A perfectly competitive firm's demand curve is perfectly elastic at the…

Q: a. Is the firm making an economic profit or loss? b. Will firms enter or exit this market? c. Sketch…

A: Firms in a perfectly competitive market face a perfectly elastic individual demand curve as they…

Q: 6. The following figure shows long-run average and marginal cost curves for a competitive firm. The…

A: "The figure given in the question relates to the firm in a perfectly competitive market structure.…

Q: 4. The number of firms that can survive in a very competitive industry in the long run depends on a.…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: What is the meaning of ''acceptable loss'' for a perfectly competitive firm?   Draw a graph and…

A: Perfect competition refers to the type of market organization in which there are many buyers and…

Q: 1. Suppose a perfectly competitive soybean farmer is producing soybeans at a loss. a) Explain the…

A: In perfect competition there are large no of buyers and sellers and all the buyers are price taker.…

Q: 2. The following tables give information about demand and total cost for two firms. In the short…

A: There is no express demand from the corporation. schedule. The price is presented in the 'Above a…

Q: 1.(a) Explain with the help of a graph how a perfectly competitive firm determines its profit-…

A: The perfectly competitive market would result in large number of buyers and sellers in the market.…

Q: 1-What are conditions of firm equilibrium? 2-what are the possibilities of perfect competition in…

A: Producer equilibrium refers to that level of output where a firm maximises its profits with its…

Q: What is meant by a competitive firm? Explain the difference between a firm’s revenue and its profit.…

A: The firm is an individual unit of the business which produce and sell the product in the market. The…

Q: Given a perfectly competitive firm, which of the following statements are true? Select one or more:…

A: A market system with perfect competition is one in which competition is at its most intense. To…

Q: #10. The market for watches is perfectly competitive and is currently in equilibrium. What will…

A: Perfect competition is a market structure where there is a large number of buyers and sellers…

Q: Assume that apples are produced in a perfectly competitive market. Columbia’s Orchard is a typical…

A: b) Given the apples have become popular and their demand has increased. This would shift the demand…

Q: a) Fill the column for marginal cost, total revenue and marginal revenue. b) What is interesting…

A: Costs Revenues Quantity Produced Total Cost $ Marginal Cost Quantity Produced Price $ Total…

Q: $10 MC ,ATC AVC 1 2 3 4 5 6 7 8 9 10 Quantity (in 1,000s) Suppose this firm operates in a perfectly…

A: The profit maximization condition under perfectly competitive market is Price=Marginal Cost that is…

Q: 26 - What is the maximum profit condition in a perfectly competitive market?    a) TC<MR  B)…

A: A perfectly competitive market is the one in which there are numerous sellers and buyers and no…

Q: If an individual perfectly competitive firm charges a price above the industry equilibrium price, it…

A: In perfect competition, there are a large number of buyers and sellers where there are no entry…

Q: 2. Show and explain the equilibrium in the short run for a perfectly competitive firm. Why…

A: Under perfect competition, there are a large number of firms who sell identical products. The…

Q: Explain why a perfectly competitive firm would or would not advertise.

A: Perfect competition refers to the type of market organization in which there are many buyers and…

Q: 1. Skip and Peggy are brother and sister and they fight about everything. Skip says that perfectly…

A: Skip and Peggy are brother and sister and they fight about everything. Skip says that perfectly…

Q: 1. The following table has information on the revenues and costs for Tom's tennis ball manufacturing…

A: A perfectly competitive market is one where there are large number of buyers and sellers and the…

Q: Why, in perfect competition, is the marginal revenue curve perfectly elastic? b. Why is the…

A: Perfect competition is a market structure characterized by large number of firms selling homogenous…

Q: 10 In the long run a perfectly competitive industry will have all firms making profits O all firms…

A: A perfectly competitive industry is one in which a larger number of sellers are allowed to offer…

Q: Suppose the market price of a good is $20 and TC=0.5Q2. A.   What Q should a profit maximizing…

A: A competitive firm is a price taker as there are large number of firms selling identical goods

Q: What is the meaning of 'acceptable loss' for a perfectiý competitive firm ? Draw a graph and…

A: Answer in Step 2

Q: st.ca/ 2. If you are operating a business in a perfectly competitive market. You can sell as much as…

A: We are authorized to answer one question at a time since you have not mentioned which question you…

Q: Quantity Demanded Figure 1 Quantity Demanded Figure 2 For a perfectly competitive firm, which line…

A: Introduction: Under perfect competition, the price is determined in the market by market forces i.e.…

Q: flat demand curves; easy exit; easy entry

A: Answer Option (a). Flat demand curves easy exit, easy entry. Explanation- In perfect competition,…

Q: 1. Suppose that the restaurant industry is perfectly competitive. Joe's Diner is always packed in…

A: In the short run, if firm manages to charge the price, atleast higher than average variable cost,…

Q: 1. The manufacturers of printers are operating in a perfectly competitive market. Each printer sold…

A: We are going to use profit maximisation method for perfectly competitive market to answer this…

Q: 3. Explain where a perfectly competitive firm's marginal revenue curve is located relative to price…

A: Perfect competition this is a type of a market structure.

Q: xplanations.

A: In the long run,the profits and losses under perfectly competitive industry tend to get eliminated…

Q: 19. The figure shows the short run conditions of a firm in a perfectly competitive market. In the…

A: Since you have asked multiple questions, we will answer the first question. If you want any specific…

Q: Is the firm maximizing profit? 2. What quantity of output should the firm produce in the long run

A: 1. Given the values: TC = 70 + 10q + 2q2MC = 10 +4q Price = MR = $20 At profit maximizing, MR=MC MR…

Q: 3. A profit-maximizing firm is perfectly competitive and is at long-run equilibrium. The output of…

A: A perfectly competitive market refers to one where a company may readily enter and offer a product…

Q: A. If a firm operating in a perfectly competitive market doubles the amount it sells, what happens…

A: a) Firms are price taker in perfectly competitive market. So, when the firm doubles the amount it…

Q: 2. Consider the following economic scenario: A new korean restaurant opens in a city. People are…

A: a. Increase in the quantity demanded for Korean food will cause the price to rise. Now since it is…

Q: 1. In the short run, the market price is $8. What is the profit maximizing output for this firm? 2.…

A: Note : Since the question contains multiple sub parts, only the first three sub parts shall be…

Q: 31. Which of the following is the best example of a perfectly competitive market? a. soft drinks b.…

A: Perfectly competitive market is characterized by the • many sellers  and many buyers • homogeneous…

Q: 1. Draw the cost curves for a typical firm. Explain how a competitive firm chooses the level of…

A: The typical cost functions are given in the next step.