Business, 07.03.2020 03:15 KenzieD6032

A firm in a purely competitive industry is currently producing 1,200 units per day at a total cost of $700. If the firm produced 1,000 units per day, its total cost would be $450, and if it produced 700 units per day, its total cost would be $425.

Instructions: In parts a and c, round your answers to 2 decimal places. In part d, round your answer to 1 decimal place.

a. What are the firm's ATC at these three levels of production?

At 1,200 units per day, ATC = $.

At 1,000 units per day, ATC = $.

At 700 units per day, ATC = $.

b. If every firm in this industry has the same cost structure, is the industry in long-run competitive equilibrium? (Click to select)NoYes.

c. From what you know about these firms’ cost structures, what is the highest possible price per unit that could exist as the market price in long-run equilibrium? $.

d. If that price ends up being the market price and if the normal rate of profit is 10 percent, then how big will each firm’s accounting profit per unit be? cents per unit.

Answers: 1

Show answers

Another question on Business

Business, 22.06.2019 09:30

Any point on a country's production possibilities frontier represents a combination of two goods that an economy:

Answers: 3

Answer

Business, 22.06.2019 20:00

During the month of march 2017, weimar world, a tax-preparation service, had the following transactions. * billed $496,000 in revenues on credit * received $164,000 from customers' accounts receivable * incurred expenses of $194,000 but only paid $87,700 cash for these expenses * prepaid $32,220 for computer services to be used next month what was the company's accrual basis net income for the month? select one: a. $302,000 b. $264,080 c. $ 41,860 d. $408,300 e. none of the above

Answers: 3

Answer

Business, 22.06.2019 20:20

An economic theory that calls for workers to take control of factories is .

Answers: 3

Answer

Business, 23.06.2019 00:10

The food services division of cedar river amusement park inc. is studying the amount families who visit the amusement park spend per day on food and drink. a sample of 40 families who visited the park yesterday revealed they spent the following amounts: see worksheet 1 for data and answer the following questions: a. organize the data into a frequency distribution, using seven classes and 15 as the lower limit of the first class. what class interval did you select? b. what percent of families spent less than $45? c. what percent of families spent $55 or more? d. how many families spent from $65 to 74.99?

Answers: 3

Answer

You know the right answer?

A firm in a purely competitive industry is currently producing 1,200 units per day at a total cost o...

Questions