10.5 Supposing g = 0.5, calculate the irms total cost function and proit function. If v...

10.5 Supposing g γ = 0.5, calculate the irm’s total cost function and proit function.

If v = 1000, w = 500 and P = 600, how many students will QuickLearn train and what are its proits?

If the price candidate drivers are willing to pay rises to P = 900, how much will proits change?

Graph QuickLearn’s supply curve for student slots, and show that the increase in proits calculated in part

(d) can be plotted on that graph.

Would a lump-sum profits tax affect the profit- maximising quantity of output? How about a proportional tax on profits? How about a tax assessed on each unit of output?

How about a tax on labour input?