Maurice Tutor

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Teaching Since: May 2017
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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 01 Jun 2017 My Price 11.00

firm operating in pure competition:

4. (TCO C) Answer the next questions (Parts A and B) on the basis of the following cost data for a firm operating in pure competition:

 

 

OUTPUT ------ TFC ---------- TVC

0 $500.00 0.00

1 500.00 70.00

2 500.00 130.00

3 500.00 170.00

4 500.00 200.00

5 500.00 300.00

6 500.00 510.00

 

 

(a.) (15 points) Refer to the above data. If the product price is $185 at its optimal output, will the firm realize an economic profit, break even, or incur an economic loss? How much will the profit or loss be? Show all calculations.

 

 

(b.) (15 points) Refer to the above data. If the product price is $200 at its optimal output, will the firm realize an economic profit, break even, or incur an economic loss? How much will the profit or loss be? Show all calculations

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Maurice Tutor
(5)
Status NEW Posted 01 Jun 2017 11:06 PM My Price 11.00

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