Newest questions posted by hiten
  1. Economics

    Suppose a perfectly competitive firm has a cost function described by TC = 100 + Q2 The industry price is $100. a. Find the profit maximizing level of output. b. Is this a short-run or long-run situation? How do you know? c. Assuming that this firm’s
  2. Economics

    Suppose a monopolistically competitive firm’s demand is given by P = 100 – 2Q And its cost function is given by TC = 5 + 2Q a. Find the profit maximizing quantity, price, and total profit level. b. Is this a long-run or a short-run outcome? How do you
  3. Economics

    A market (or industry) demand curve is described by Q = 50 – 0.5 P The firm’s cost function is TC = 10 + 2 Q a. Find the profit-maximizing quantity and price. b. If the industry is regulated in a way that requires it to set P = AC, how much will be
  4. economics

    Teddy Bear, Inc., a rapidly growing manufacturer of high fashion children's shoes, plans to open a new production facility in Gastonia. Based on information provided by the accounting department, the company estimates fixed costs of $250,000 per year. Its