Q3 Consider total cost and total revenue given in the following table: Quantity: 0, 1, 2, 3, 4, 5, 6, 7 Total cost: $8, 9, 10, 11, 13, 19, 27, 37 Total revenue: $0, 8, 16, 24, 32, 40, 48, 56 a) Calculate profit for each quantity. How much should the firm produce to maximise profit? b) Calculate marginal revenue and marginal cost for each quantity. Graph them. (Hint: Put the points between whole numbers. For example, the marginal cost between 2 and 3 should be graphed at 2/2.) At what quantity do these curves cross? How does this relate to your answer to part (a)? c) Can you tell whether this firm is in a competitive industry? If so,can you tell whether the industry is in a long-run equilibrium?

A profit-maximising firm in a monopolistic competition setup will seek to produce the quantity Q where (X), and charge the price indicated by the firm’s (Y) curve at quantity Q. Identify X and Y.X = marginal cost equals marginal revenue; Y = marginal cost X = average cost is more than average revenue; Y = average total cost X = marginal cost equals marginal revenue; Y = demand X = average cost is more than average revenue; Y = demand

Barbara has estimated the demand and marginal revenue for her product.They are P = 84 - 2Q (quantity) and MR = 84 - 4Q, respectively.She also experiences a constant marginal cost of $16.What is Barbara’s profit-maximising quantity and price?Question 4Answera.Q = 12; P = $50b.Q = 12; P = $40c.Q = 17; P = $50d.Q = 17; P = $40

Instructions: Use the given information to answer the questions and interpret key features. Use any method of graphing or solving.The roots of the quadratic function describing the relationship between number of products produced and overall profit margin are x=0𝑥=0 and 100100. The vertex is (50,1000)(50,1000).The maximum profit of $$ dollars is reached when items are produced.The first root tells us that the profit will be 00 when products are produced. The second root says once items are made, the company is no longer making any profit. (They do not have production capacity and have to outsource for anything over 5050.)

The revenue and cost functions, both in dollars, for the production and sale of x TVs are given as R(x) = 160x − 0.8x2 and C(x) = 3,240 + 15x, respectively.(a)Find the value(s) of x where the graph of R(x) has a horizontal tangent line with correct units. (Enter your answers as a comma-separated list. Round your answers to the nearest integer. If an answer does not exist, enter DNE.)x = 100   (b)Find the profit function in terms of x. (Note: Profit is revenue minus costs.)P(x) = −.8x2+145x−3240 (c)Find the value(s) of x where the graph of P(x) has a horizontal tangent line with correct units. (Enter your answers as a comma-separated list. Round your answers to the nearest integer. If an answer does not exist, enter DNE.)x = 7258​

At which point does a firm maximise profit?Marginal revenue = Average total costMarginal cost = Marginal revenue Marginal cost = Average total cost Marginal revenue = Demand