produces at the competitive industry. Assume that the total fixed costs are given by $90. Quantity of Output 0 1 2 3 4 5 6 Total Variable Cost 0 25 40 60 90 130 185 Marginal Cost (i) Fill in the blanks for the column of the marginal cost. (ii) Assume that the equilibrium price is $24. How many units of output will firm Z choose to produce at this price? What is the total revenue, total cost, and the profit? (iii) Assume that the demand for product of Z increases and this results in an increase in the equilibrium price from $24 to $48. How many units of output will firm Z choose to produce in the new equilibrium price? What is the total revenue, the total cost, and the profit of Z at this price?

produces at the competitive industry. Assume that the total fixed costs are given by $90. Quantity of Output 0 1 2 3 4 5 6 Total Variable Cost 0 25 40 60 90 130 185 Marginal Cost (i) Fill in the blanks for the column of the marginal cost. (ii) Assume that the equilibrium price is $24. How many units of output will firm Z choose to produce at this price? What is the total revenue, total cost, and the profit? (iii) Assume that the demand for product of Z increases and this results in an increase in the equilibrium price from $24 to $48. How many units of output will firm Z choose to produce in the new equilibrium price? What is the total revenue, the total cost, and the profit of Z at this price?

Principles of Economics (MindTap Course List)

8th Edition

ISBN:9781305585126

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter14: Firms In Competitive Markets

Section: Chapter Questions

Problem 9PA

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