Ps4 - than the Average Total Cost While operating under...

Info iconThis preview shows pages 1–8. Sign up to view the full content.

View Full Document Right Arrow Icon
P D=10-p D=5-p/2 D=30-3p 1 9 4.5 27 2 8 4 24 3 7 3.5 21 4 6 3 18 5 5 2.5 15 6 4 2 12 7 3 1.5 9 8 2 1 6 9 1 0.5 3 10 0 0 0 0 1 2 3 4 5 6 7 8 9 10 0 2 4 6 8 10 12 D=10-p Column A Quantity Price 0 0.5 1 1.5 2 2.5 3 3.5 4 4.5 5 0 2 4 6 8 10 12 D=5-p/2 Column A Quantity 0 5 10 15 20 25 30 0 2 4 6 8 10 12 D=30-3p Column A Fernando Ferreira G00457714
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
0 5 10 15 20 25 30 Quantity
Background image of page 2
Quantity MC AVC Total MC Total AVC 1 2 1 12 6 0 2 4 2 24 12 6 3 6 3 36 18 12 4 8 4 48 24 18 5 10 5 60 30 24 6 12 6 72 36 30 7 14 7 84 42 36 8 16 8 96 48 42 9 18 9 108 54 48 10 20 10 120 60 54 11 22 11 132 66 12 24 12 144 72 13 26 13 156 78 14 28 14 168 84 15 30 15 180 90 16 32 16 192 96 17 34 17 204 102 18 36 18 216 108 19 38 19 228 114 20 40 20 240 120 21 42 21 252 126 22 44 22 264 132 23 46 23 276 138 24 48 24 288 144 25 50 25 300 150 26 52 26 312 156 27 54 27 324 162 0 5 10 15 20 25 30 0 10 20 30 40 50 60 Column K Column L Quantity Price Since MC>AVC in every point, the supply curve in the short run is the inverse MC.
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Background image of page 4
       The Point where the demand Intercepts MC is the (13,26). Therefore, price is $26 and  Quantity is 13. Knowing the amount of fixed cost does not influence the answer to question F. In he short run a firm will produce at any point where the Marginal Cost is greater
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Background image of page 6
Background image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Background image of page 8
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: than the Average Total Cost. While operating under losses if AC>MC>AVC, the firm will at least cover the fixed costs. 5 10 15 20 25 30 10 20 30 40 50 60 1; 2 2; 4 3; 6 4; 8 5; 10 6; 12 7; 14 8; 16 9; 18 10; 20 11; 22 12; 24 13; 26 14; 28 15; 30 16; 32 17; 34 18; 36 19; 38 20; 40 21; 42 22; 44 23; 46 24; 48 25; 50 26; 52 27; 54 Average Cost, Marginal Cost and Demand Column K Column L Column P Column K Column L Column P Quantity Price...
View Full Document

{[ snackBarMessage ]}

Page1 / 8

Ps4 - than the Average Total Cost While operating under...

This preview shows document pages 1 - 8. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online