monopolistic competitor has the following information about cost and demand. Quantity Price ($) Total Revenue ($) Marginal Revenue ($) Total Cost ($) Marginal Cost ($) Average Cost($) 2 24 48 23 35 2.5 17.5 4 23 92 21 45 5 11.25 6 22 132 19 60 7.5 10 8 21 168 17 77 8.5 9.63 10 20 200 15 100 11.5 10 12 19 228 13 126 13 10.5 14 18 252 11 165 19.5 11.79 16 17 272 9 2
monopolistic competitor has the following information about cost and demand. Quantity Price ($) Total Revenue ($) Marginal Revenue ($) Total Cost ($) Marginal Cost ($) Average Cost($) 2 24 48 23 35 2.5 17.5 4 23 92 21 45 5 11.25 6 22 132 19 60 7.5 10 8 21 168 17 77 8.5 9.63 10 20 200 15 100 11.5 10 12 19 228 13 126 13 10.5 14 18 252 11 165 19.5 11.79 16 17 272 9 2
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
A monopolistic competitor has the following information about cost and demand.
|
Quantity |
Price ($) |
Total Revenue ($) |
Marginal Revenue ($) |
Total Cost ($) |
Marginal Cost ($) |
Average Cost($) |
|
2 |
24 |
48 |
23 |
35 |
2.5 |
17.5 |
|
4 |
23 |
92 |
21 |
45 |
5 |
11.25 |
|
6 |
22 |
132 |
19 |
60 |
7.5 |
10 |
|
8 |
21 |
168 |
17 |
77 |
8.5 |
9.63 |
|
10 |
20 |
200 |
15 |
100 |
11.5 |
10 |
|
12 |
19 |
228 |
13 |
126 |
13 |
10.5 |
|
14 |
18 |
252 |
11 |
165 |
19.5 |
11.79 |
|
16 |
17 |
272 |
9 |
210 |
22.5 |
13.13 |
|
18 |
16 |
288 |
7 |
260 |
25 |
14.44 |
|
20 |
15 |
300 |
5 |
320 |
30 |
16 |
What will the firm’s profits equal in the short run?
Question 6 options:
|
|
0 |
|
|
$91 |
|
|
$102 |
|
|
$229 |
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