2. A Hawkeye has total cost and total revenue equations, but cannot figure out what the firm should do.Use your knowledge of profit-maximization to find the profit-maximizing quantity (X), the TotalRevenue at that quantity, the Total Cost at that quantity, and the maximum profits earned.Total Cost = X³+4*X² + 100*X + 100Total Revenue = -X² + 500*X

Profits are maximized at 10 units of quantity. At this point:Total revenue is 4900 dollars,total…

Answered: 2. A Hawkeye has total cost and total…

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter8: Perfect Competition

Section: Chapter Questions

Problem 5SCQ: Explain in words why a profit-maximizing film will not choose to produce at a quantity where...

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Explain in words why a profit-maximizing film will not choose to produce at a quantity where marginal cost exceeds marginal revenue.
2. A Hawkeye has total cost and total revenue equations, but cannot figure out what the firm should do, Use your knowledge of profit-maximization to find the profit-maximizing quantity (X), the Total Revenue at that quantity, the Total Cost at that quantity, and the maximum profits earned. Total Cost X+4*X2 +100*X+100 Total Revenue --X2+500*X Profit-maximizing Quantity = Total Revenue at Profit-maximizing Quantity= Total Cost at Profit-maximizing Quantity= Maximum Profit Earned: =
1. The Abner Corporation, a retail seller of television sets, wants to determine how many television sets it must sell in order to earn a profit of $10,000 per month. The price of each television set is $300, the average variable cost is $100, and the fixed costs are $5,000 per month. a. What is the required sales volume for Abner Corporation to earn a profit of $10,000 per month? b. If the corporation were to sell each television set at $350 rather than $300, what would be the required sales volume? c. If the price is $350 but the average variable cost decreased to $85 rather than $100, what would be the required sales volume now?
Only typed answer and please don't use chatgpt A firm faces the following average revenue (demand) curve: P = 120 – 0.02Q where Q is weekly production and P is price, measured in cents per unit. The firm’s cost function is given by C = 60Q + 25,000. Assume that the firm maximizes profits. What is the level of production, price, and total profit per week?
a. Find total revenues and marginal revenues for each of the quantities. b. What quantity of CDs would maximize profit? What would the price be? 2.) Charlies's lawn-mowing service is a profit-maximizing.competitive firm. Bob mows lawns for $27 each. His total cost each day is $280, of which $30 is a fixed cost. He mows 10 lawns a day. What can you say about Charlies's short-run decision regarding shutdown and his long-run decision regarding exit?
Consider the total cost and total revenue given in the following table: Quant Total Total Prof Marginal Revenue Marginal Cost ity Cost Revenue 8. 1 9 8 10 16 11 24 4 13 32 19 40 6. 27 48 7. 37 56 1. Calculate profit for each quantity (write your answers in the column provided above). How much should the firm produce to maximize profit? 2. Calculate the marginal revenue and marginal cost for each quantity (write your answers in the columns provided above). Illustrate in a graph the marginal revenue and marginal cost below. Identify the profit maximizing quantity.
Price and cost (dollars per can) 8.00 5.14 J 3.00 MR 0 5 7 10 15 Quantity (cans per day) The above figure shows some a firm's cost curves and its marginal revenue curve. The firm in the figure above has a total cost equal to $5.14 x 7 ($5.14 - $3.00) x 7 O ($3.00 - $5.14) x 7 $3.00 × 7 O None of the above answers are correct because more information is needed. MC ATC AVC
Billy’s Bean Bag Emporium produced 300 bean bag chairs but sold only 275 of the units it produced. The average cost of production for each unit of output produced was $100. The price for each of the 275 units sold was $95. What is the Total profit for Billy’s Bean Bag Emporium? Include in your answer your calculation
Don't use chatgpt or any AI A profit-maximising firm in a competitive market is currently producing 1,000 units of output. It has average revenue of $50, average total cost of $40 and fixed cost of $10,000. a) What is its profit? b) What is its marginal cost? c) What is its average variable cost? Is the efficient scale of the firm more than, less than or exactly 1,000 units?
56. Total profit from marginal profit. Hanna's Hat Com- pany's marginal profit, P, as a function of its total cost, C, is given by dP -200 dC (C + 3)3/2" a) Find the profit function, P(C), if P = $10 when C = $61. b) At what cost will the firm break even (P = 0)?
OSee Hint The total cost of Mr. Plow, a snow-removal business, is given in the table below. Quantity (Q = driveways cleared) Total Revenue Total Cost Abbreviation: TR TC Formula: $0 $25 10 34. 2) 20 41 30 46 4. 40 49 50 51 60 54 70 60 8. 80 70 6. 90 95 10 100 145 What is the total profit of cleaning five driveways if the price Mr. Plow can charge is $10 per driveway? %24
Refer to the figure below. Assuming the firm chooses the level of output that maximizes profit, what is total cost at that output level? 36 32 MC1 28 24 ATC4 20 Di 16 AVC1 12 8 4 2 4 6 8 10 12 14 16 18 Select one: a. $288 b. $160 c. $264 d. $240

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