Need help with numbers 7 through 10. Thank you!! PERFECT COMPETITION SHORT RUN COST STRUCTURE & REVENUE STRUCTURE6. Complete the "perfect competition" immediately below table by calculating all the values. (It is worth spending 30 minutesto learn some Microsoft Excel or Google Sheets skills to complete this assignment. Get some help.)- view chart7. What is the rule for determining the daily output (production level) that will maximize short run profits?-?8. Identify the daily output that the firm would produce if prices were a) $2, b) $4, c) $6, d) $8. Report daily output, price,marginal cost, and profit at that daily output. Explain.-?9. What will the long run equilibrium be given this cost structure? Report daily output, price, marginal cost, and profit at thatdaily output. Explain.-?10. Provide two graphs: i) daily output on the x-axis and on the y-axis total daily fixed costs, total daily variable costs, total dailycosts, and total revenue when price equals $6; ii) daily output on the x-axis and on the y-axis daily average fixed costs, dailyaverage variable costs, daily average total costs, and price equals $6.-? TotalDailyOutputand Salesof Pizzas012345678910TotalDailyFixedCosts10101010101010101010TotalDailyVariableCosts.46791319273749Total Average Average AverageTotalCostsDailyCostsFixedCostsVariableCosts10141617192329374759731063MONOPOLY PRODUCTION DECISION PROBLEM10.005.003.332.502.001.671.431.251.111.004.003.002.332.252.603.173.864.635.446.3014.008.005.674.754.604.835.295.886.567.30MarginalCosts6421248101214Price =MarginalRevenue6666666666TotalRevenue(WhenPrice =$?)-6121824303642485460TotalProfits(WhenPrice =$?)(10)-8-4157751-5-13

The perfectly competitive firm chooses to produce at MR =MC and this is also known as the…

- view chart 7. What is the rule for determining the daily output (production level) that will maximize short run profits? - ? 8. Identify the daily output that the firm would produce if prices were a) $2, b) $4, c) $6, d) $8. Report daily output, price, marginal cost, and profit at that daily output. Explain. - ? 9. What will the long run equilibrium be given this cost structure? Report daily output, price, marginal cost, and profit at that daily output. Explain. 2

- view chart 7. What is the rule for determining the daily output (production level) that will maximize short run profits? - ? 8. Identify the daily output that the firm would produce if prices were a) $2, b) $4, c) $6, d) $8. Report daily output, price, marginal cost, and profit at that daily output. Explain. - ? 9. What will the long run equilibrium be given this cost structure? Report daily output, price, marginal cost, and profit at that daily output. Explain. 2

Principles of Economics (MindTap Course List)

8th Edition

ISBN:9781305585126

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter14: Firms In Competitive Markets

Section: Chapter Questions

Problem 4PA

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3. Use the graph below to answer the questions that follow. Cost LRAC 40 30 20 10 100 200 400 800 Output b. What happened to the cost of one good as the firm increased its output from 100 units to 200 units and from 200 units to 400 units? c. What is the firm experiencing as it increased it scale of operation from 100 units to 400 units? d. What is the firm experiencing if it chooses to produce at point P? Give reason for your answer.
(1) Use the graph to answer the question below. The quantity is measured in thousands of units. What will this firm decide to do in the long run? A-It will stay in the market because the price is above its AVC at its profit-maximizing output. B-It will leave the market because the price is below its ATC at its profit-maximizing output. C-It will increase its price to point B to earn normal profit. D-It will increase its output until its profit-maximizing output level is equal to B. E-Insufficient data to determine. (2) A dairy farmer is operating in a perfectly competitive market. The market price for milk is between the farmer's average variable cost and average total cost at the profit-maximizing level of output. What will the farmer do? A-Produce more milk. B-Produce less milk. C-Shut down in the short run. D-Operate in the short run and leave the industry in the long run. E-Insufficient information to determine (3) A firm operating in a perfectly competitive market cannot…
What is the law of diminishing returns? Why does marginal product eventuallydiminish?b. Explain the relationship between marginal product and average product. Lin’s makes fortune cookies. Anyone can make and sell fortune cookies, so thereare dozens of producers. All fortune cookies are the same and buyers and sellersknow this fact. In what type of market does Lin’s operate? What determines theprice of fortune cookies? What determines Lin’s marginal revenue?d. What is the shape of the AFC curve and why does it have this shape?
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Economics Question
15. The table below shows cost data for producing different amounts of refrigerators. Use the given information to answer the questions below. Quantity Total Cost Variable Cost Marginal Cost Average Variable Cost Average Total Cost in $ in $ in $ in $ in $ 241 0 271 30 361 120 491 250 681 440 901 660 0 10 What is the profit (loss) at that level of production? 20 30 40 50 How many refrigerators would a competitive firm produce if the market price was $19? 3 9 13 19 22 3.00 6.00 8.33 11.00 13.20 27.10 18.05 16.37 17.02 18.02
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5. Costs in the short run versus in the long run Ike's Bikes is a major manufacturer of bicycles. Currently, the company produces bikes using only one factory. However, it is considering expanding production to two or even three factories. The following table shows the company's short-run average total cost (SRATC) each month for various level of production if it uses one, two, or three factories. (Note: Q equals the total quantity of bikes produced by all factories.) Average Total Cost (Dollars per bike) Number of Factories 100 Q= 200 Q= 300 Q400 Q = 500 Q = 600 360 200 160 240 400 720 540 300 160 160 300 540 720 400 240 160 200 360 Suppose Ike's Bikes is currently producing 500 bikes per month in its only factory. Its short-run average total cost is $ per bike. Suppose Ike's Bikes is expecting to produce 500 bikes per month for several years. In this case, in the long run, it would choose to produce bikes Using On the following graph, plot the three SRATC curves for Ike's Bikes from…