Short-run Firm Supply . Produce Pride, Inc., supplies sweet corn to canneries located throughout Ohio's corn belt region. Like many grain and commodity markets, the market for sweet corn is perfectly competitive. With $500,000 in fixed costs, the company's total and marginal costs per ton (Q) are:

TC = $500,000 + $400Q + $0.04Q²

MC = dTC/dQ = $400 + $0.08Q

A. Calculate the industry price necessary to induce short-run firm supply of 10,000 tons of sweet corn. Assume that MC > AVC at every point along the firm's marginal cost curve and that total costs include a normal profit.

B. Calculate short-run firm supply at industry prices of $2,000 per ton.Hint: if Price = MC in a perfectly competitive market, solve for Q at a price $2,000/ton.

C. Develop the average variable cost equation (AVC) for Produce Pride, Inc.