Consider the following model of a firm. The firm can sell any number of units at the constant price, p. The marginal cost of production is given by MC=c+dq. How many units of the good will a profit-maximising firm produce? a. (p-c)/d b. d(p-c) c. pq - cq d. q(p-c)
Q: Explain the forces surrounding defense and research spending in the US. How would you change it to…
A: The issue of defense and research spending in the US is complicated and involves many factors,…
Q: J.P. Morgan is credited with forcing the U.S. government into approving legislation that created the…
A: The United States central bank is known as the Federal Reserve and regulates monetary policy. It is…
Q: The extent to which a national economy is involved in global trade: is not very strongly related to…
A: Trade:Trade refers to the buying and selling of goods and services in the international market in…
Q: Figure 4-19 The diagram below pertains to the demand for turkey in the United States. ↑price DB O x…
A: The demand curve is the downward-sloping curve. The supply curve is the upward-sloping curve. The…
Q: The following equations describe consumption, investment, government spending, taxes, and net…
A: This can be defined as a concept that shows the total amount of production of commodities and…
Q: When a major storm is forecasted to impact a region (hurricanes, blizzards, etc) there is a run on…
A: Demand is the desire of an individual ability and willingness to pay for a product. The demand is…
Q: In the short run, given a market price equal to $15 per jumpsuit, the firm should produce a daily…
A: A market with perfect competition is an idealized structure where a large number of sellers and…
Q: If demand is inelastic and a monopolist raises its price, quantity would fall by a Z. Therefore, a…
A: A market with many buyers and only one vendor is called a monopoly. Because of the monopoly, the…
Q: Suppose that when a business sells 300 units of output, total cost is equal to $1800 and total…
A: Costs refers to the expenses that incur in the process of production of goods or services. There are…
Q: Use economic criteria to compare an "emission tax" and a "cap and trade" permit system to control…
A: Through the emission tax permit system, the government imposes a financial price on each unit of…
Q: An firm is interested in evaluating the relationship of demand for building materials to mortgage…
A: The mortgage rate is the interest rate that a borrower pays on a home loan, expressed as a…
Q: QUESTION 3 Figure: Labor Market Wage $10 7 40 b. 40; 20 40 40 60 80 Quantity of labor What is the…
A: "Labor market equilibrium" refers to the situation in which the supply of labor (L), or the total…
Q: Suppose a movie theater determines it can charge different prices to patrons who go to weekday…
A: Price elasticity of demand refers to the percentage change in the quantity demanded of a goods or…
Q: Imani's home insurance has been automatically renewed for the past ten years. Each year, an…
A: The question's problem statement has to do with "Insurance and Customer Service" or "Insurance…
Q: A. Daily demand curve for potato is Demand: Q = 1500 − 15P B. Long-run supply curve for potato is Q…
A: The demand curve shows an inverse relationship between price and quantity demanded. The supply curve…
Q: The members of the parliament want to know why labour force participation ratesfor womenin the 25-34…
A: The objective of the question is to understand the economic reasons behind the lower labour force…
Q: The graph shows the market for North Atlantic tuna. The quantity of tuna that fishers catch i…
A: In the language of economics, market equilibrium occurs when producers' willingness to supply an…
Q: Kappa Holdings is looking at a new system with an installed cost of $740,000. This cost will be…
A: To calculate the NPV of the project, we first need to calculate the annual cash flow.Annual cash…
Q: ___________________ is a new version of Utilitarianism that is based on what set of rules is…
A: Maximizing happiness and well-being for everyone is at the core of utilitarianism's moral and…
Q: Survivor 1 & Survivor 2 are lost in the Woods. The Quantities of Good A & Good B are in Fixed…
A: Consumer preference:It is related to the preference of consumers over a different bundle of goods.…
Q: The MB curves in the diagram slope downward because of the law of Multiple Choice O O conservation…
A: The incremental gain or favorable effect that an extra unit of a certain activity or input produces…
Q: The graph on the right shows a basic aggregate demand and aggregate supply graph (with LRAS…
A: The GDP price deflator, also known as the GDP deflator or the implied price deflator, is a metric…
Q: please show work and explain and accurate answer otherwise i give downvote Note:- Please refrain…
A: The issue you presented is related to microeconomics, with a particular emphasis on market…
Q: Between a trough and a peak, the economy goes through a(n) Ohyperinflation. bust. recession.…
A: DISCLAIMER “Since you have asked multiple questions, we will answer the first question for you. If…
Q: PW(benefits) PW(operating and maintenance costs) PW(capital costs) Project A $20,000,000 $5,000,000…
A: Disclaimer: As per our guidelines we are allowed only to solve 3 subparts of the question but I have…
Q: Question 4. According to the textbook, when a supervisor tells someone that his or her performance…
A: Human resource management and organizational psychology are related to the issue you presented. It…
Q: Which quarter had the highest inflation rate? 3 Nominal GDP Inflation Rate Real GDP Previous Quarter…
A: A table is provided with data on the four quarters with information on Nominal GDP, Inflation rate,…
Q: When compared to combination B, combination C provides Select one alternative: O more satisfaction…
A: The description of various movie and book combinations (Combinations A, B, C, etc.) and the…
Q: 0
A: a) To determine the probability that at most 2 out of the 15 randomly selected students took French,…
Q: Draw a supply and demand graph showing an equilibrium price of $50 and an equilibrium quantity of…
A: The quantity of a product producers want to sell at different prices and the amount buyers want to…
Q: Price GF E D B A Quantity S₁ S D Ad Refer to the provided supply and demand graph for a product. In…
A: A negative externality is a cost imposed by an economic activity on a third party who is not…
Q: Question 41 Problem 1 d: Which of the following statements about the Monetary Policy Tools is…
A: Monetary policy alludes to the arrangement of activities and measures executed by a country's…
Q: (Figure: Output Levels II) The socially optimal output level could be achieved by a government quota…
A: The socially optimal point is where the allocation of resources maximizes overall societal welfare,…
Q: Which one (1) of the following events would be considered a loss under Section 7.1.2 B,…
A: “Since you have posted multiple questions, we will provide the solution only to the first question…
Q: Expedia wants to use regression analysis to build a model for airfare tickets prices in the states:…
A: Regression model:This model clearly illustrates the relationship between two variables, with one…
Q: 2) To relieve stress, you have been told to not bottle up your anger but to let it out. A teakettle…
A: Managing stress is a common challenge in our daily lives, and people often employ various coping…
Q: Mary makes 10 pies and 20 cakes a day and her opportunity cost of producing a cake is 2 pies. Tim…
A: In economics, comparative advantage refers to the relative specialization of an individual or a firm…
Q: A. Copy and paste the graph above into the text box and shade the area of deadweight l unregulated…
A: Deadweight loss is a term used in economics to describe the loss of economic efficiency that occurs…
Q: You own a tract of trees and are deciding whether to harvest them now or next year. If you harvest…
A: Investment refers to the allocation of own money in expectation of getting profit.It is basically…
Q: We write the change in total revenue with respect to change in price as dTR/dP. What is the correct…
A: Total revenue can be understood as the amount of earnings made after selling goods or services to…
Q: The IS-LM diagram on the right shows the initial equilibrium of a closed economy at point A. Now…
A: The study of macroeconomics underpins contemporary economics, offering essential insights into a…
Q: Which of the following would shift long-run aggregate supply to the right? a. increased immigration…
A: The total supply of goods and services produced in an economy within an aspect time period is called…
Q: For each of the scenarios in the following table, indicate the most likely reason for the difference…
A: Human capital refers to the ability, skills, and aptitude of individuals which contribute to…
Q: Wayne Enterprises had several salespersons that worked for a contract salary. To encourage them to…
A: A contract salary is a fixed amount of money agreed upon in a written employment contract, paid to…
Q: If Ferdinand prefers a Big Mac to a Whopper and a Whopper to a hotdog, but is indifferent between a…
A: Consumer decisions resemble a riddle, where personal inclinations reveal concealed advantages.…
Q: Look at the provided figure. Which area represents the tax revenue after the tax? Amount of the tax…
A: Taxes are the necessary payments that the agents within the nation have to make to the government.…
Q: 2. Ben values each latte at $12 and purchases two for $3 each from the local cafe whose costs are $1…
A: Ben buys "tettes" from a nearby café for less than he believes they are worth, resulting in a…
Q: A farm sells peaches in a perfectly competitive market at a price of $1.95 per kilogram. What is the…
A: Marginal revenue measures the change in firm's total revenue due to sale of additional unit of…
Q: Show in graph a consumers’ surplus when the market is perfectly competitive and when its monoplized.
A: A perfectly competitive market refers to market where a large number of buyers and sellers exist. A…
Q: with these equations: ( = 230 +0₂66d₁ F = 420₁6 = 280-0₁13Y₁ X=470₁ M=555, and T = 13 +0.25Y What is…
A: The study of macroeconomics supports modern economics, providing critical insights into a country's…
Consider the following model of a firm. The firm can sell any number of units at the constant price, p. The marginal cost of production is given by MC=c+dq. How many units of the good will a profit-maximising firm produce?
a. (p-c)/d
b. d(p-c)
c. pq - cq
d. q(p-c)
Step by step
Solved in 3 steps with 5 images
- Mindy's salon is a small business that acts as a price taker (MR=P). The prevailing market price for each haircut is $20. Mindy's cost are given by Total cost = 0.1q^2 + 10q + 50 where q = the number of customers a day. a. How many customers should Mindy choose to maximize profit? b. Calculate Mindy's maximum daily profit. c. Graph these results, and label Mindy's supply curve.Using the graph on the next page, do the following problems: Determine the profit maximizing level of output when the market price for the good is $75/unit. Show this on the graph by making the appropriate drawing (with a straight-edge). Also, write the number (an appropriate estimate should be made) below the graph. • On the graph, show the maximum total profit that can be generated by the firm based on the market price. Do NOT calculate the value - show the appropriate box on the graph. Be careful in your (straight) lines. Be clear as to the part of the graph that represents the profit. Use shading as appropriate. • Below the graph, write the interpretation of the values of the marginal cost (MC) and the average total cost (ATC) at the profit-maximizing level of output; make sure to use all the appropriate names and units. Write the values and interpretations below the graph. • Answer the following questions: If the market price of the good falls, the profit maximizing level of…Suppose a firm's cost function is C(q) = 12q +4q². The firm's marginal cost is MC = 12 +8q. a. Graph the firm's supply curve. b. What quantity is produced if the price is 20?
- Suppose a stream is discovered whose water has remarkable healing powers. You decide to bottle the liquid and sell it. The market demand curve is linear and is given as follows: P = 53 - Q. The marginal cost to produce this new drink is $5. What price would this new drink sell for if it sold in a competitive market? A. 0 B. $5 C. $29 D. $17You are running a chocolate factory and need to decide on the price to sell the chocolate as well as the quantity to produce. Demand curve; Q = 8.5 - 0.05 * P. The cost curve is C = 100 + 38Q. The business is a profit maximizer. 1) What is the best price to charge each week? 2) What is the best quantity to make each week? 3) What are the expected profits Is it possible to get this in an excel with equation formulasA company in the software development sector has a market demand and production costs given by: q = 20 - P CT (q) = q² - 4q (Quantities are expressed in thousands of units). a) Find the optimal price and production. b) Calculate the level of benefits obtained. c) What would be the quantity produced and the price in the long run? Comment on the long- term benefit. d) Graph both situations (a graph for the short run and a graph for the long run).
- a donut shop charges customers the same price. the profit maximising output is 100 at a price of 5$ per donut. marginal cost is 2$. The donut shop owner now discovers that it has two very different types of customer children and adults . It can maximise its profits by selling 30 donuts to children for a price of 4$ per donut and 70 donuts per evening to everyone else for a price of 6$ per donut. Draw a diagram showing the profit-maximising price and output a) when all customers are charged the same price and b) when children are charged a different price c)How much profit does the donut shop owner make when children are charged a different price? explain how to draw the diagrams also in detail please!A perfectly competitive firm sells its good for $20. If marginal cost is four times the quantity produced, how much does the firm produce? Why? Assuming perfect competition, there is not enough information to determine how much the firm is producing. Assuming perfect competition, the firm is producing where MC is twice MR. If the price is $20, then MC is $40. This means that the firm is producing 10 units. Assuming perfect competition, the firm is producing where MR = MC. If the price is $20 and MC is four times the quantity, it is producing 80 units. Assuming perfect competition, the firm is producing where MR = MC = P. Since price is $20, MR is $20. If MC is 4 times the quantity, it is producing 5 units.Mango Systems believes that demand for its pet e-mouse follows a linear demand equation: Quantity = 43,911 - 708* Price Mango's variable cost to produce one pet e-mouse is $23.50. Find the maximum total contribution margin (margin per unit times quantity sold) that Mango Systems can possibly achieve on its pet e-mouse. (Rounding: penny.) Your Answer:
- Dave's Donuts sold 1,000 donuts. Total revenue was $400, and the cost of producing the 1,000 donuts was $300. What is the profit for Dave's Donuts? $1,000 $500 $100 $400For a firm’s product, the demand function is p =72−0.04q and the average cost function is i. ¯ c = 500 q +30 i. At what level of output would profit be maximized? ii. ii. Atwhat price is the profit maximized?the 9. You own a bakery and the inverse demand function for your cakes is P = 8 – 1.5Q. If cost of producing cake is C = 0.5Q, determine the profit-maximizing quantity, and the profit-maximizing price.