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SOVA2 [1]
3 years ago
11

Advanced Printing Systems is a firm in a monopolistically competitive market. If its marginal cost is $18 per unit in the short

run, if it is maximizing profits, and if it is selling at the equilibrium quantity, what is its marginal revenue?
Business
1 answer:
castortr0y [4]3 years ago
3 0

Answer: Marginal Revenue = $18 per unit

Explanation:

The profit maximizing condition for a firm in a monopolistic  competitive market is at MR = MC.

So, the marginal revenue of the firm is equal to the marginal cost of the firm.

In this question, the firm's marginal cost is $18 per unit in the short run and it is a profit maximizing firm. Thus, its marginal revenue is $18 per unit.

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6 0
1 year ago
8-year bonds a year ago at a coupon rate of 8 percent. The bonds make semiannual payments and have a par value of $1,000. If the
nexus9112 [7]

Answer:

Current price of bond is $1060.47

Explanation:

Coupon payment = 1000 x 8% = $80 yearly = 80/2 = $40 semiannually

Number of periods = n = 8 years x 2 periods per year = 16

Yield to maturity = 7% yearly = 7% / 2 = 3.5%

Price of bond is the present value of future cash flows, to calculate Price of the bond use following formula:

Price of the Bond = C x [ ( 1 - ( 1 + r )^-n ) / r ] + [ F / ( 1 + r )^n ]

Price of the Bond =$80 x [ ( 1 - ( 1 + 3.5% )^-16 ) / 3.5% ] + [ $1,000 / ( 1 + 3.5% )^16 ]

Price of the Bond = $80 x [ ( 1 - ( 1.035 )^-16 ) / 0.035 ] + [ $1,000 / ( 1.035 )^16 ]

Price of the Bond = $483.76 + $576.71

Price of the Bond = $1,060.47

7 0
3 years ago
What are the advancements made in the automotive industry in 2020
Nata [24]

Answer:

Autonomous Vehicles (AV)

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Blockchain

Explanation:

6 0
3 years ago
Read 2 more answers
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