The graph attached illustrates the Demand, Marginal Revenue, Marginal Costs, Average Total Costs and Average variable Cost curves for a firm in a perfectly competitive market. What is the Optimum level of the output for the firm and what is the maximum price the firm can charge? How do you know?  At this price and output combination does the firm make economic profit of economic loss? Explain your answer. Calculate the economic profit or loss? Show your calculations.

Problem two Consider the total cost and total revenue given in the following table: Total Total Quantity cost Revenue 0 1 2 3 4 5 6 7 8 9 10 11 13 19 27 37 0 8 16 24 32 40 48 56 a) Calculate the profit for each quantity. How much should the firm produce to maximize profit? b) Calculate the marginal revenue and marginal cost for each quantity. Graph them. c) Can you tell whether this firm is in a competitive industry? If so, can you tell whether the industry is in a long-run equilibrium?

Assume the following regarding a firm in Perfect Competition: Market Demand = Qd 460-3P Market Supply = Qs = 9 P Each identical firm has: MC=4q ATC = 14 1. What price will the firm charge? Number 2. What is the firm's equilibrium quantity? Number 3. What is the firm's total cost? Number 4. What is the firm's total revenue? Number 5. What is the firm's profit or loss? (use a negative sign to indicate a loss) Number 6. Is the firm in a short-run or long-run situation? Click for List

The equations below correspond with questions #1 - 2 below and describe the costs of a profit maximizing, perfectly competitive firm (q = output): Total Costs TC = 300 if q = 0 Total Costs TC = 400 + 10q + 2q2 if q > 0 Marginal Cost MC = 10 + 4q if q> 0 What is the greatest possible profit that this firm would earn if the market price is set at $90? a. $1800 b. $100 c. $400 d. $1400 e. none of the above

What type of industry has the characteristics where there are many producers, they are able to differentiate their product, the barriers to entry are low, and a firm in the industry has the ability to manipulate price to a certain extent. What type of industry is this? Will this type of industry be able to enjoy profits in the long run? Why? Also is this firm producing at productivity and allocative efficiency? Why?

Explain how to determine a firm's cost of production and economic profit

Please answer F and show steps for the graph

A friend has just started up her own business. Her firm asks you how much to charge for her product to maximize profits. The demand schedule for it is given by the first two columns in the table below; its total costs are given in the third column. For each level of output, you can calculate total revenue, marginal revenue, average cost, and marginal cost. The profit-maximizing level of output can be found at the point where TR - TC is greatest, or where MR = MC, (or the last quantity where MR is still greater than MC.) What is the profit-maximizing level of output for her product? 40 How much will she earn in profits? 80 Price     Quantity     TC                 TR?           MR?      MC? $25.00        0             $130  $24.00      10             $275 $23.00     20             $435 $22.50     30             $610 $22.00     40             $800 $21.60      50          $1,005 $21.20      60          $1,225

If marginal revenue is $9, how much output will the firm produce, and how much profit will it make? Show your calculations.

Use the following table to answer the next question. The table shows the total costs associated with varying levels of output produced by a perfectly competitive firm. Output 0 1 2 3 4 Total Cost $1,400 1,600 2,000 2,600 3,500 4,800 If the product sells for $800 a unit, the firm's profit-maximizing output is