Business, 27.11.2019 06:31 YungKardon
Afirm in a competitive industry has a total cost function of tc = 0.2 q2 – 5q + 30, whosecorresponding marginal cost curve is mc=0.4q – 5. if the firm faces a price of 6,
a)what quantity should it sell? (10 points)
b)what profit does the firm make at this price? (10 points)
c)should the firm shut down? (10 points)
Answers: 1
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Afirm in a competitive industry has a total cost function of tc = 0.2 q2 – 5q + 30, whosecorrespondi...
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