FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A competitive firm faces the following market price: P=200. Variable costs are C(Q)=Q 2. The firm also pays $17000 in costs that do not depend

image text in transcribed

image text in transcribed
A competitive firm faces the following market price: P=200. Variable costs are C(Q)=Q 2. The firm also pays $17000 in costs that do not depend on production (even if q=0). Hint - marginal cost is MC(Q)=2*Q NOTE - KEEP YOUR CALCULATIONS. THIS INFORMATION WILL BE USED IN MULTIPLE QUESTIONS What is the profit of this firm (ACCOUNTING profit, counting sunk costs as well) Oo O 5000 O -17000 -7000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Financial Accounting

Authors: C Thomas,

12th Edition

007760086X, 9780077600860

More Books

Students also viewed these Economics questions

Question

★★★★★
In Exercise 41, an error was made in grading your final exam. Instead of getting 93, you scored 85. What is your new weighted mean? In Exercise 41 Homework Quizzes Project Speech Final exam Score 85...

Answered: 1 week ago

Question

★★★★★
What are illusory correlations? How are they formed and why do they lead to stereotyping?

Answered: 1 week ago

Question

★★★★★
In a two-class priority queueing model suppose that a cost of Ci per unit time is incurred for each type i customer that waits in queue, i = 1, 2. Show that type 1 customers should be given priority...

Answered: 1 week ago

Question

★★★★★
Journalize the following labor-related transactions for Portland Glass at its plant in Portland, Oregon. Assume that the labor has been incurred, but not yet paid. Plant janitors wages...... $ 650...

Answered: 1 week ago

Question

★★★★★
This is the same information as the prior two questions. Overhead is applied based on direct labor hours. Budgeted Direct Labor Hours SP for Variable Overhead Actual Variable Overhead SQ x SP for...

Answered: 1 week ago

Question

★★★★★
Scenario 11-1 The July 6, 2013, railway disaster in Lac-Mgantic, Quebec highlighted the danger that businesses can face when they are located close to rail lines, especially in the event of a...

Answered: 1 week ago

Question

★★★★★
Exercise 14-36 (Algo) Comparing Business Units Using Economic Value Added (EVA) (LO 14-4) Lauderdale Corporation is organized in three geographical divisions (regions) with managers responsible for...

Answered: 1 week ago

Question

★★★★★
make a copy of Capstone project (task_manager.py) and save it in the Dropbox folder for this project. Also, copy and paste the text files (user.txt and tasks.txt) that accompanied the previous...

Answered: 1 week ago

Question

★★★★★
1. You have been asked to review the valuation of Santiago Cement, a small Peruvian cement company, by an M&A analyst, for acquisition by a US cement company. The analyst has estimated a value of 1...

Answered: 1 week ago

Question

★★★★★
An owner investment of a building, valued at $100,000 with an $80,000 outstanding mortgage, transferring this asset into the business would O A. increase shareholders' equity by $20,000 OB. increase...

Answered: 1 week ago

Question

★★★★★
Politics ____ a set of activities performed in every country. is are A and B some other option

Answered: 1 week ago

Question

★★★★★
A firm is 100% equity financed and has 10 million shares. Its current share price is $50. To reduce its corporate tax, it decided to lever-up its capital structure. So today, it announced to the...

Answered: 1 week ago

Question

★★★★★
The work role: This consists of service to others at your workplace.

Answered: 1 week ago

Question

★★★★★
The role of society: This consists of service to the local community, society and nature.

Answered: 1 week ago

Question

★★★★★
13. Think about a relationship conflict you have had in your workplace or home situation. Try to interpret the conflict from the following logical levels: a. Purpose b. Role c. Values d. Competence...

Answered: 1 week ago

Previous Question Next Question