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zzz [600]
3 years ago
10

Assume that the market is perfectly competitive. If the cost function for John's Shoe Repair is �(�) = 100 + 10� − �) + 3 4 �4,

what is the firm's marginal cost function? What is its profit-maximizing condition if the market price is p? What is its short-run supply curve?
Business
1 answer:
kirill [66]3 years ago
5 0

Answer:

Explanation:

C(q) = 100+10q-q^2+(1/3)q^3

To find the firm marginal cost function:

Take the derivative with respect to q

MC = 10 - 2q + q^2

Assuming that the market price is p , then the profit maximising condition is:

MR = MC

p = 10 - 2q + q^2

The short-run supply curve is the marginal cost curve that lies above the average variable cost.

The average variable cost is:

AVC =VC/Q

AVC = (10q-q^2+(1/3)q^3)/Q

AVC = 10 - q + (1/3)*q^2

So, the short-run supply curve is:

SRS = 10 - 2q + q^2 if p > 10 - q + (1/3)*q^2

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Answer:

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it is not relevant by the time you are applying for college, and does not say very much about you as a person & what you like to do.

7 0
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A firm could continue to operate for years without ever earning a profit as long as it is producing an output where
Assoli18 [71]

A firm could continue to operate for years without ever earning a profit as long as it is producing an output where

<span> B. MR >AVC</span>

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3 years ago
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Lyrx [107]

Answer:

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4 0
2 years ago
The stated purposed of NAFTA is to A. gain membership in the WTO. B. reduce the outsourcing of jobs to foreign countries. C. pha
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4 0
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