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3. Assume the marginal cost of a perfectly competitive firm is MC - 3 + 2q and the market price of the firm's product is
3. Assume the marginal cost of a perfectly competitive firm is MC - 3 + 2q and the market price of the firm's product is RM9. a. What is the total output produced by the firm? b. Assume the firm's average variable cost is AVC = 3 + q and the firm's fixed cost is RM3. Determine whether the firm makes a positive profit, negative profit, or zero profit in the short run
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International Business
Authors: Alan M. Rugman, Simon Collinson
6th edition
273760971, 978-0273760979
