The market for wheat consists of 500 identical firms, each with the totalcost function C(Q) = 90, 000 + 0.00001Q2 where Q is measured in bushels per year. Themarket demand curve for wheat is Q = 90, 000, 000 − 20, 000, 000P , where Q is againmeasured in bushels and P is the price per bushel. The market is perfectly competitive.(a) Obtain the average and marginal cost functions of each firm. Obtain the total cost,average cost and marginal cost when the production of a firm is Q0 = 100, 000.

Suppose a farmer is a price taker (MR = P = 6) in soybeans with cost functions given byTC = .1q2 + 2q + 100MC = .2q + 2The firm's supply curve is given by

The demand function Q and cost function C(Q) of a commodity are given by the equations \[Q=20-0.01P,\] and C(Q)=60+6Q, where P and Q are the price and quantity, respectively. The total revenue function (TR) in terms of P is

The demand function Q and total cost function T(q) of a commodity are given by the equations P=100−4q, and TC=320+4q, where P and q are the price and quantity, respectively. Determine the quantity that must be produced and sold at breaks even.

Suppose that the market for rice is competitive. This means that the farmer will maximise profit by choosing:Group of answer choicesto produce the quantity at which average fixed cost is minimized.to sell its wheat at a price where marginal cost is equal to average total cost. the quantity at which market price is equal to the farm’s marginal cost of production.the quantity where average revenue is equal to the farm’s average variable cost.

The table below shows Ali’s monthly costs of producing wheat. Suppose the current market price of wheat is $56.00 per bushel. Ali's Wheat Production CostsQuantity (bushels) AVC (dollars) ATC (dollars) MC (dollars)0 — — —500 $40.00 $240.00 $40.001,000 35.00 85.00 30.001,500 30.00 63.33 20.002,000 30.00 55.00 30.002,500 31.00 51.00 35.003,000 32.67 49.33 41.003,500 34.86 49.15 48.004,000 37.50 50.00 56.004,500 40.57 51.67 65.005,000 44.00 54.00 75.00 Instructions: Enter your answers as a whole number. If you are entering a negative number include a minus sign. a. If the market price is $56.00 per bushel of wheat, and Ali chooses to produce wheat, how much will he produce per month to maximize his profits in the short run?       bushels per month b. Calculate Ali’s monthly profits (express a loss as a negative number) if he chooses to produce the profit-maximizing quantity of wheat at a price of $56.00.      $  c. Assume that the market price of wheat falls to $35.00 per bushel. How much wheat will Ali choose to produce per month in order to maximize his profits in the short run?       bushels per month d. Calculate Ali’s monthly profits (express a loss as a negative number) if he chooses to produce the profit-maximizing quantity of wheat at a price of $35.00.      $  e. If the market price of wheat instead falls to $20.00 per bushel, how much wheat will Ali choose to produce per month in order to maximize his profits in the short run?       bushels per month