8. Firm's Revenue A firm in a competitive market receives $1,080 in total revenue and has marginal revenue of $20. The firm's average revenue is S units were sold.
Q: Price level Long-Run Adjustment When the Price Level Exceeds Expectations Potential output LRAS 120…
A: Wage rate is the level of wages that employees or workers receive for their work. It is determined…
Q: QUESTION using the supply and demand graph, show the effect of the tax breaks on the housing market…
A: Demand refers to the consumer's willingness and ability to purchase a good or service at various…
Q: Whether good or negative foreign direct investment (FDI) and economic development has grown. Analyse…
A: Below are the detailed discussion on the foreign direct investment (FDI) and economic development…
Q: The production function is f (L, M ) = 5L1/2M 1/2, where L is the number of units of labor and M…
A: The production function is given as L is the number of labor units.M is the number of machines. The…
Q: When a tax is imposed, some of the cost is borne by suppliers and some by consumers. Which of the…
A: Here the issue is whether to go with the tax burden being shared by consumers and producers, or with…
Q: CLIMATE CHANGE AND THE ECONOMY For the whole Canada in a Changing Climate report, visit…
A: Climate change refers to a multiannual variety of directions of the temperature and weather…
Q: Consider a public good setting with single-peaked preferences. There are n agents in the economy and…
A: Single-peaked preference, in this context, refers to how agents rank their preferences for a public…
Q: Newlzkeoflllckdd
A: Equilibrium point achieved at the intersection point of the demand and supply curves. The price…
Q: In Japan, suppose the CPI for the year 2010 is 150 and the CPI for 2011 is 135. Japan has…
A: The objective of the question is to determine whether Japan has experienced inflation or deflation…
Q: Place the steps used to support a claim in the correct order. State the claim.…
A: The first step in supporting a claim is to clearly state the claim. This is the assertion or point…
Q: Consider the open-economy model with flexible prices and fixed output from chapter 6. The components…
A: Gross Domestic Product (GDP) is a monetary measure of the market value of all final goods and…
Q: In the graph, the demand for hot dog buns has shifted to the left because the price of hot dogs has…
A: The given data are-With this increase in the price(P) of hot dogs, the demand(D) curve of hot dog…
Q: utility function
A: The interest price represents the winning fee at which the society discounts future software or…
Q: A. Calculate the difference in novs between the make and buy optiom. Express all cost as positive…
A: Demand Data: Year 1100,000Year 2200,000Year 3300,000Taiwanese supplier Bid's Data :Cost per unit =…
Q: Price Level 3.0- 2.0 1.0 LRAS 300 500 C SRAS1 SRAS2 AD Real Output In the graph above, the expected…
A: Short run aggregate highlights the relationship between price and quantity supplied. The curve is…
Q: Question 7 Consider the following inverse supply and inverse demand equation. Using the marginal…
A: Supply and demand functions express the relationship between price and quantity. Inverse functions…
Q: Consider a country with no capital mobility and flexible exchange rates. a. Solve for the exchange…
A: In a nation lacking capital mobility and embracing flexible exchange rates, barriers hinder capital…
Q: According to your text, the US should not return to a gold standard because a gold standard is least…
A: The central bank manages the supply of money in the economy via monetary tools such as adjustments…
Q: Bulgaria's production possibilities curve is displayed above. A movement of the production mix from…
A: The PPF is also referred to as the production possibility curve (PPC). It is a key economic concept…
Q: 6. Differing views of self-correction Economists disagree about how quickly the economy adjusts to…
A: 1. Adaptive 2. point V to B and eventually from point B to point G 3. Directly from V to G…
Q: In Japan, suppose the CPI for the year 2010 is 150 and the CPI for 2011 is 135. Japan has…
A: The objective of the question is to determine whether Japan has experienced inflation or deflation…
Q: Francine is a a dental floss tycoon living in Montana. She faces the following demand curve for her…
A: Price elasticity of demand measures the responsiveness of the demand of a commodity to a change in…
Q: Short Grass Incorporated is a distributor of golf balls. Martin's Golf Supplies is a local retail…
A: **Calculating Economic Order Quantity (EOQ)**To find the economic order quantity (EOQ), we will…
Q: Consider Ann, who has a project that would be worth $270 to her if performed by a hard worker and…
A: Here we have to calculate the smallest wage Ann can offer that will get Bob to accept the job, what…
Q: he following graph shows the weekly market for craft beer in some hypothetical economy. Suppose the…
A: Demand refers to a consumer's desire to purchase something at the price that he is ready to pay…
Q: The real GDP in 2010 was $1,800 billion and $1,944 billion in 2011.What is the growth rate in real…
A: The objective of the question is to calculate the growth rate in real GDP from 2010 to 2011.
Q: 3. A firm has fixed cost of $90.00 and variable costs as indicated in the table below. Complete the…
A: Costs refers to the expenses that incur in the process of production of goods or services. There are…
Q: Question 1: Hotelling’s Rule in a rapidly changing market Let’s assume that oil was not discovered…
A: State the given information,
Q: You are Brandon Johnson. The city needs money. You are contemplating 2 sources of revenue: levying…
A: The objective of the question is to understand the demand curves for gas and CTA fare, calculate…
Q: The market for peanut butter in Nutville is monopolistically competitive and in long-run…
A: The primary matter that should be discussed herein is the perception of monopolistic competition in…
Q: The table below shows current carbon emissions and the cost of reducing carbon emissions for three…
A: Externality is the consequence in which the actions of one person affect other people in the economy…
Q: Digital Tech Dynamics purchased a new quality inspection system for $550,000. The estimated salvage…
A: The minimum trade-in value refers to the amount that the employer would want to obtain for the…
Q: Find a very weakly dominant strategy that is not strictly dominant. 3) c; 5) x; 7) z 4) d; 2) b; 6)…
A: A weakly dominant strategy is a concept in game theory that describes a strategy that is at least as…
Q: The real interest rate increases and investment increases. _____ a. The real interest…
A: To comprehend how the real interest rate and the level of investment work together, is the main…
Q: 3. 1\2 a b C d X y Z 1,2 2,2 5,1 4,1 3,5 3,3 5,2 4,4 7,0 2,3 0,4 3,0 When player 1 plays d, what is…
A: The best response of a player is a strategy that maximizes the payoff of a player given the…
Q: Your economics textbook hit the market with a bang, selling 10856 copies in its debut year. The…
A: Sales is the exchange of commodities. Price is the contract to sell the goods in the market. It is…
Q: Average Cost The total daily cost (in dollars) of producing a mountain bikes is given by C(x)…
A: The total daily cost is :
Q: If you want to emphasize or provide support for an idea, which transition should you avoid?…
A: The objective of the question is to identify which transition word or phrase is not suitable when…
Q: Blue Skies Aviation is a manufacturer of small single-engine airplanes. The company is relatively…
A: Marginal cost defines the addition of cost allocated to one more unit produced of a good or service.…
Q: The table shows the amounts, in millions of dollars, of balances of various current account…
A: The current account balance (CAB) is the sum of the net trade balance on goods and services (X-M),…
Q: Draw a demand curve and a supply curve to show the effect on the equilibrium price in a market in…
A: The demand curve illustrates consumers’ willingness to purchase the good and the quantity of the…
Q: "Investigate the economic implications of implementing a universal basic income (UBI) in a developed…
A: The issue to investigate is the effect of block chain innovation's presentation into the monetary…
Q: B. One Good, Two Factor Mobility Model. In the diagram below show how free trade in both unskilled…
A: The factor price equalization theory states that free trade results in the equalization of the…
Q: competitive equilibrium
A: A competitive equilibrium refers to a country wherein the financial system has reached stability…
Q: Problem 1. Market demand is P = 100-0.25Q, where Q is the total quantity demanded by consumers.…
A: Prices and quantities under block pricing with two prices:For the first block: P1=10, Q1=360For…
Q: The Canadian Government has a long history of encouraging and supporting the ventures of the…
A: Employment refers to the state of having paid work or being engaged in an occupation or job role for…
Q: Compute the consumer surplus with D(q) the demand curve and S(q) be the supply curve, both defined…
A: The demand function is given asThe supply function is given as The value of A is 78.
Q: international management
A: International business enterprise refers to industrial sports that contain the change of goods,…
Q: If a single firm with constant marginal costs of £8 monopolizes a market with demand Q=100-2P…
A: One seller or manufacturer controls the entire market in a monopoly. In a monopoly, the supply and…
Q: In the normal interest equation [(1 + i)^n] do we need to find the effective interest rate [1 +…
A: The effective interest rate (EIR), also known as the annual equivalent rate (AER) or annual…
Step by step
Solved in 1 steps
- Your company operates in a perfectly competitive market. You have been told that advertising can help you increase your sales in the short run. Would you create an aggressive advertising campaign for your product?The firm has total revenue $100 and producing total 10 cell phone. How would I calculate average revenue of the firm?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?
- price S-. amd n.ma 20 18 16- 14- 12 10 8. 6. 4 TR 1 2 3 45 6 7 89 10 Quantity Demanded Click Save and Submit to save and submit. Click Save All Answers to save all answers. Total Revenue 2.3. The components of marginal revenue Manuel's Fire Engines is the sole seller of fire engines in the fictional country of Pyrotania. Initially, Manuel produced four fire engines, but he has decided to increase production to five fire engines. The following graph shows the demand curve Manuel faces. As you can see, to sell the additional engine, Manuel must lower his price from $105,000 to $90,000 per fire engine. Note that while Manuel gains revenue from the additional engine he sells, he also loses revenue from the initial four engines because he sells them all at the lower price. Use the purple rectangle (diamond symbols) to shade the area representing the revenue lost from the initial four engines by selling at $90,000 rather than $105,000. Then use the green rectangle (triangle symbols) to shade the area representing the revenue gained from selling an additional engine at $90,000. 150 135 Revenue Lost 120 Demand 105 Revenue Gained 90 75 60 45 30 -15 PRICE (Thousands of dollars per…3. The components of marginal revenue Sean's Fire Engines is the sole seller of fire engines in the fictional country of Pyrotania. Initially, Sean produced eight fire engines, but he has decided to increase production to nine fire engines. The following graph shows the demand curve Sean faces. As you can see, to sell the additional engine, Sean must lower his price from $80,000 to $60,000 per fire engine. Note that while Sean gains revenue from the additional engine he sells, he also loses revenue from the initial eight engines because he sells them all at the lower price. Use the purple rectangle (diamond symbols) to shade the area representing the revenue lost from the initial eight engines by selling at $60,000 rather than $80,000. Then use the green rectangle (triangle symbols) to shade the area representing the revenue gained from selling an additional engine at $60,000. PRICE (Thousands of dollars per fire engine) Sean 100 90 80 70 40 10 ++ 0 0 1 True + 2 False 3 4 5 QUANTITY…
- 3. The components of marginal revenue Alex's Fire Engines is the sole seller of fire engines in the fictional country of Pyrotania. Initially, Alex produced eight fire engines, but he has decided to increase production to nine fire engines. The following graph shows the demand curve Alex faces. As you can see, to sell the additional engine, Alex must lower his price from $80,000 to $40,000 per fire engine. Note that while Alex gains revenue from the additional engine he sells, he also loses revenue from the initial eight engines because he sells them all at the lower price. Use the purple rectangle (diamond symbols) to shade the area representing the revenue lost from the initial eight engines by selling at $40,000 rather than $80,000. Then use the green rectangle (triangle symbols) to shade the area representing the revenue gained from selling an additional engine at $40,000. dollars per fire engine) PRICE (Thousands Alex 200 180 160 140 120 100 80 60 40 20 0 0 + 1 True + False 2 + 4…11. Explain the condition of equilibrium of a firm based on marginal cost and marginalrevenue. Need details explanation and make sure that no plagiarised answer3. The components of marginal revenue Lorenzo's Fire Engines is the sole seller of fire engines in the fictional country of Pyrotania. Initially, Lorenzo produced five fire engines, but he is considering increasing production to six fire engines. The following graph shows the demand curve Lorenzo faces. As you can see, to sell the additional engine, Lorenzo must lower his price from $105,000 to $90,000 per fire engine. Note that although Lorenzo would gain revenue from the additional engine he sells, he would also lose revenue from the initial five engines because he would have to sell them all at the lower price. Use the purple rectangle (diamond symbols) to shade the area representing the revenue lost from the initial five engines by selling at $90,000 rather than $105,000. Then use the green rectangle (triangle symbols) to shade the area representing the revenue gained from selling an additional engine at $90,000. PRICE (Thousands of dollars per fire engine) 150 135 120 105 90 75 60…
- 3. The components of marginal revenue Felix's Fire Engines is the sole seller of fire engines in the fictional country of Pyrotania. Initially, Felix produced eight fire engines, but he has decided to increase production to nine fire engines. The following graph shows the demand curve Felix faces. As you can see, to sell the additional engine, Felix must lower his price from $75,000 to $50,000 per fire engine. Note that while Felix gains revenue from the additional engine he sells, he also loses revenue from the initial eight engines because he sells them all at the lower price. Use the purple rectangle (diamond symbols) to shade the area representing the revenue lost from the initial eight engines by selling at $50,000 rather than $75,000. Then use the green rectangle (triangle symbols) to shade the area representing the revenue gained from selling an additional engine at $50,000. PRICE (Thousands of dollars per fire engine) Felix 250 225 200 175 150 125 100 75 25 0 0 1 O True 2 O…5. Profit maximization and shutting down in the short run The following graph plots daily cost curves for a firm operating in the competitive market for rompers. PRICE (Dollars per romper) 50 45 40 35 30 25 20 15 10 5 0 0 2 MC 27.50 45.00 4 ATC AVC 6 8 10 12 14 QUANTITY (Thousands of rompers) 16 Price Quantity (Dollars per romper) (Rompers) 12.50 18 20 Using the following table, for each price level, calculate the optimal quantity of units for the firm to produce. Using the data from the graph to determine the firm's total variable cost, calculate the profit or loss associated with producing that quantity. Assume that if the firm is indifferent between producing and shutting down, it will choose to produce. (Hint: Select purple points [diamond symbols] on the graph to receive exact average variable cost information.) ? Total Revenue (Dollars) Fixed Cost Variable Cost (Dollars) (Dollars) 135,000 135,000 135,000 Profit (Dollars) If the firm shuts down, it must incur its fixed costs (FC)…3. The components of marginal revenue Dmitri's Fire Engines is the sole seller of fire engines in the fictional country of Pyrotania. Initially, Dmitri produced four fire engines, but he has decided to increase production to five fire engines. The following graph shows the demand curve Dmitri faces. As you can see, to sell the additional engine, Dmitri must lower his price from $105,000 to $90,000 per fire engine. Note that although Dmitri gains revenue from the additional engine he sells, he also loses revenue from the initial four engines because he sells them all at the lower price. Use the purple rectangle (diamond symbols) to shade the area representing the revenue lost from the initial four engines by selling at $90,000 rather than $105,000. Then use the green rectangle (triangle symbols) to shade the area representing the revenue gained from selling an additional engine at $90,000. 150 135 Revenue Lo 120 Demand 105 80 Revenue Gained PRICE (Thousands of dollars per fe engine 228…