EP ECONOMICS,AP EDITION-CONNECT ACCESS
20th Edition
ISBN: 9780021403455
Author: McConnell
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Question
Chapter 13.1, Problem 2QQ
To determine
Average cost of the firm.
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1. Price exceeds MC in: a. graph (a) only. b. graph (b) only. c. graphs (a) and (b) only. d. graphs (a), (b), and (c). 2. Price exceeds ATC in: a. graph (a) only. b. graph (b) only. c. graphs (a) and (b) only. d. graphs (a), (b), and (c). 3. The firm represented by Figure 13.1c is: a. making a normal profit. b. incurring a loss. c. producing at the same level of output as a purely competitive firm. d. producing a standardized product. 4. Which of the following pairs are both “competition-like elements” in monopolistic competition? a. Price exceeds MR; standardized product. b. Entry is relatively easy; only a normal profit in the long run. c. Price equals MC at the profit-maximizing output; economic profits are likely in the long run. d. A firm’s demand curve is downsloping; differentiated products.
2. The relationship between price and demand per month for a consumer product is
p = 3500 -1.1D5
where p is the price per unit in dollars and D is the demand in units. The fixed cost is $300 per
month and the variable cost is $4.00 per unit.
What is the optimal number of units that should be produced and sold per month?
a.
b. What is the maximum profit per month?
4. If Stopdecay does not change its price, the average monthly total revenue would be (Dropdown options: 240k, 195k, 200k, 162,500)
5. On the other hand, if it changes the price to sell the same number of units as it did before, the average monthly total revenue would be (Dropdown options: 231,920 or 241,440, or 160,000 or 172,480)
Chapter 13 Solutions
EP ECONOMICS,AP EDITION-CONNECT ACCESS
Ch. 13.1 - Prob. 1QQCh. 13.1 - Prob. 2QQCh. 13.1 - Prob. 3QQCh. 13.1 - Prob. 4QQCh. 13.4 - Prob. 1QQCh. 13.4 - The D2e segment of the demand curve D2eD1 graph...Ch. 13.4 - Prob. 3QQCh. 13.4 - Prob. 4QQCh. 13.A - Prob. 1ADQCh. 13.A - Prob. 2ADQ
Ch. 13.A - Prob. 3ADQCh. 13.A - Prob. 4ADQCh. 13.A - Prob. 1ARQCh. 13.A - Prob. 2ARQCh. 13.A - Prob. 3ARQCh. 13.A - Prob. 1APCh. 13.A - Prob. 2APCh. 13 - Prob. 1DQCh. 13 - Prob. 2DQCh. 13 - Prob. 3DQCh. 13 - Prob. 4DQCh. 13 - Prob. 5DQCh. 13 - Prob. 6DQCh. 13 - Prob. 7DQCh. 13 - Prob. 8DQCh. 13 - Prob. 9DQCh. 13 - Prob. 10DQCh. 13 - Prob. 11DQCh. 13 - Prob. 12DQCh. 13 - Prob. 13DQCh. 13 - Prob. 1RQCh. 13 - Prob. 2RQCh. 13 - Prob. 3RQCh. 13 - Prob. 4RQCh. 13 - Prob. 5RQCh. 13 - Prob. 6RQCh. 13 - Prob. 7RQCh. 13 - Prob. 8RQCh. 13 - Prob. 1PCh. 13 - Prob. 2PCh. 13 - Prob. 3P
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