In Pakistan internet service is ought to be considered as the perfectly competitive industry. Following is the information available for the internet service provider A operating in the market. Total output Total Cost 0 180 10 280 20 400 30 530 40 670 50 820 60 980 70 1150 a. Briefly discuss the characteristics of the market Service Provider A is operating. b. If the market price of the fruit is 16 i. Find how much output will the firm produce (Show calculations). Illustrate it graphically ii. Find if the firm is maximizing profit or minimizing loss (show calculations) and highlight the same in the graph drawn in part ii. iii. From your answer in part iii, explain if the firm is operating in the LR or SR.
In Pakistan internet service is ought to be considered as the
Total output Total Cost
0 180
10 280
20 400
30 530
40 670
50 820
60 980
70 1150
a. Briefly discuss the characteristics of the market Service Provider A is operating.
b. If the market
i. Find how much output will the firm produce (Show calculations). Illustrate it graphically
ii. Find if the firm is maximizing
iii. From your answer in part iii, explain if the firm is operating in the LR or SR.
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