G help me ..
This assignment asks you to derive and plot cost curves for a firm. It then asks you to look at the production decisions of that firm in various settings. Everybody's firm will be a little different. Let the 9th digit of your student number be o and the 8th digit of your student number be B. Fixed cost (FC) and marginal costs (MC) for your firm are given by: FC = 50 + 50 MC = (8+1)Q where Q is the firm's level of output. Questions 1. Firm's Costs: Complete the table below using Excel, Google Sheets or similar software for values of Q from 0 to 20: Q FC MC VC TO AFC AVC ATC 20 where VC is total variable cost, TC is total cost, AFC is average fixed cost, AVC is average variable cost and ATC is average total cost. Plot The MC, AFC, AVC and ATC curves on a single graph. 2. Competitive Market: Suppose that your firm is one of a number of identical firms operating in a competitive industry. The current price in that market is given by PER. Use your value of B and the table below to look up PER. B 1 2 3 4 5 6 8 9 10 PER 14 18 24 28 30 36 35 40 36 50 (a) Produce a new graph that plots this price along with the MC and ATC curves. (b) How many units does your firm produce? Mark this level of output on your graph. (c) Does your firm make a profit, a loss or breakeven in the short-run? Calculate the profit/loss.This assignment asks you to derive and plot cost curves for a firm. It then asks you to look at the production decisions of that firm in various settings. Everybody's firm will be a little different. Let the 9th digit of your student number be o and the 8th digit of your student number be B. Fixed cost (FC) and marginal costs (MC) for your firm are given by: FC = 50 + 50 MC = (8+1)Q where Q is the firm's level of output. Questions 1. Firm's Costs: Complete the table below using Excel, Google Sheets or similar software for values of Q from 0 to 20: Q FC MC VC TO AFC AVC ATC 20 where VC is total variable cost, TC is total cost, AFC is average fixed cost, AVC is average variable cost and ATC is average total cost. Plot The MC, AFC, AVC and ATC curves on a single graph. 2. Competitive Market: Suppose that your firm is one of a number of identical firms operating in a competitive industry. The current price in that market is given by PER. Use your value of B and the table below to look up PER. B 1 2 3 4 5 6 8 9 10 PER 14 18 24 28 30 36 35 40 36 50 (a) Produce a new graph that plots this price along with the MC and ATC curves. (b) How many units does your firm produce? Mark this level of output on your graph. (c) Does your firm make a profit, a loss or breakeven in the short-run? Calculate the profit/loss.Because firms produce a differentiated product, each of the firms in a monopolistically competitive market faces a demand curve that is: A) perfectly elastic. B) perfectly inelastic. c) downward sloping D) perfectly elastic or perfectly inelastic depending on whether the firm's output is a O luxury or a necessityAssume the price elasticity of demand for a product is -6. In this case, the firm's optimal markup is (approximately): * ( A) 20 percent. B) 100 percent. C) 33 percent. O D) 25 percent.The practice of setting price by increasing the average costs of production by Some percentage is referred to as O A) average cost pricing. O B) percentage pricing C) rate-of-return pricing. D) markup pricingThe difference between the total willingness to pay for a good and the amount actually spent measures: A) the total benefits from consuming the good. (B) the net gain from the production and consumption of the good C) the amount by which producers are better off, i.e., producers' surplus (D) the amount by which consumers are better off, l.e., consumers surplus
