Profit is maximized when Q = 4 and P = $40, with maximum profit = $90.
<u>Explanation:</u>
(a) (i) Marginal cost (MC) = Change in Total cost (TC) by Change in output (Q)
(ii) Total revenue (TR) = Price (P) into Q
(iii) Marginal revenue (MR) = Change in TR by Change in Q
(iv) Profit = TR - TC
Therefore:
Q TC MC P TR MR PROFIT
0 25 60 0 -25
1 40 15 55 55 55 15
2 45 5 50 100 45 55
3 55 10 45 135 35 80
4 70 15 40 160 25 90
5 90 20 35 175 15 85
6 115 25 30 180 5 65
7 145 30 25 175 -5 30
8 180 35 20 160 -15 -20
9 220 40 15 135 -25 -85
10 265 45 10 100 -35 -165
When Q = 4, MR = $25 and MC = $15, so MR > MC. When Q = 5, MR = $15 and MC = $20, so MR < MC. Therefore,
Profit is maximized when Q = 4 and P = $40, with maximum profit = $90.
(b) In the long run, new firms will enter the market by being attracted by positive short run profit. Therefore in long run, demand for individual firm will decrease, price for individual firm will decrease and profit will decrease until each existing firm earns zero economic profit.
Answer:
Decreasing taxes would result in a loss of money from government funded organizations and other government jobs. There would be a lower budget for public schools and the salaries of police forces, post offices, and teachers would be forced to be cut. However, this would also raise economic activity, increasing people's ability to buy and coontribute more to the flow of money.
Explanation:
<span>Social Engineers
This is the craft of controlling individuals so they surrender secret data. The sorts of data these hoodlums are looking for can change, however when people are focused on the offenders are normally attempting to deceive you into giving them your passwords or bank data or other sensitive information</span>
Answer:
Yes he will prevail because the advert placed is a unilateral contract
Explanation:
A unilateral contract is one that has only one promisor who receives a promise for his from the offeror. It is usually settlement for a particular service or product.
On the other hand bilateral agreement has both parties as the promisor and offeror. Meaning both of them have conditions that must be fulfilled in the contract by the other person.
In the given instance Stevens placed an ad in a literary magazine offering $7,400 for a complete set of Vacation in Paradise, a five volume set.
Any service short of this can be viewed as a failure in the contract.
Adams gave to Stevens four volumes of the Vacation in Paradise set as a birthday present. Adams was informed of the offer at some point, obtained the missing volume, brought the volume to Stevens.
Since Adams had not initially satisfied conditions set by Stevens, Stevens can refuse to make the $7,400 payment
