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Suppose a bakery produces cakes with the total cost function given by: TC = 112 +10q +7q2. If the bakery is a price taker and can sell a cake at a price of $80 each. Calculate the profit the bakery would earn if it produced 8 cakes. (Do not include a $ sign in your response. Round to the nearest two decimal places if necessary.) Answer: Suppose that paper factory had a total cost function given by: TC: 1296 +6q +4q2. The paper factory is a price taker and the price of a unit of paper is $166. Calculate the profit-maximizing quantity of paper. (Round to the nearest two decimal places if necessary.) Answer: Suppose that firm that makes lithium batteries is a price taker. The firm's marginal cost if given by: MC: 2 +14q. The price it can sell batteries at is $660 per unit. Calculate the profit-maximizing quantity of batteries for the firm. (Round to the nearest 2 decimal places if necessary.) Answer: Suppose a firm has an average total cost function given by: ATC = 9610/q +1 +10q. Calculate the quantity where ATC is minimized. (Round to the nearest two decimal places if necessary.) Answer:Suppose a firm has an average total cost function given by: ATC = 1152Iq +3 + 8q. Calculate the price where the firm breaks even (i.e. profit: $0). (Do not include a $ sign in your response. Round to the nearest two decimal places if necessary.) Answer: Suppose a firm has an average total cost function given by: ATC = 2916lq +9 + 9q. Calculate the price where the firm shuts down in the short run. (Do not include a 5' sign in your response. Round to the nearest two decimal places if necessary.) Answer: Suppose a profit-maximizing price taker had a marginal cost function given by: MC = 10 +2q. Calculate the producer surplus the firm would earn when the price is $50. (Do not include a $ sign in your response. Round to the nearest 2 decimal places if necessary.) Answer: The graph above shows a firm's Marginal Revenue (MR), Marginal Cost (MC), Average Total Cost (ATC) and Average Variable Cost (AVC). This firm is a profitmaximizing price taker. Calculate the revenue the firm will earn. (Do not include a 33 sign in your response. Round to the nearest two decimal places if necessary.) Answer: $ per unit MC ATC MR $40 AVC $20 2 4 6 8 10 12 Output (q) The graph above shows a firm's Marginal Revenue (MR), Marginal Cost (MC), Average Total Cost (ATC) and Average Variable Cost (AVC). This firm is a profit-maximizing price taker. Calculate the firm's total cost. (Do not include a $ sign in your response. Round to the nearest two decimal places if necessary.) Answer:$ per unit MC ATC MR $20 AVC $10 5 10 15 20 25 30 Output (q) The graph above shows a firm's Marginal Revenue (MR), Marginal Cost (MC), Average Total Cost (ATC) and Average Variable Cost (AVC). This firm is a profit-maximizing price taker. Calculate the firm's profit. (Do not include a $ sign in your response. Round to the nearest two decimal places if necessary.) Answer:The graph above shows a firm's Marginal Revenue (MR), Marginal Cost (MC), Average Total Cost (ATC) and Average Variable Cost (AVC). This firm is a profit-maximizing price taker. Calculate the firm's producer surplus. (Do not include a $ sign in your response. Round to the nearest two decimal places if necessary.) Answer: $ per unit MC ATC MR $20 AVC $10 5 10 15 20 25 30 Output (q) The graph above shows a firm's Marginal Revenue (MR), Marginal Cost (MC), Average Total Cost (ATC) and Average Variable Cost (AVC). This firm is a profit-maximizing price taker. Find the firm's break-even price (price at which profit = $0). (Do not include a $ sign in your response. Round to the nearest two decimal places if necessary.) Answer:The graph above shows a firm's Marginal Revenue (MR), Marginal Cost (MC), Average Total Cost (ATC) and Average Variable Cost (AVC). This firm is a profit-maximizing price taker. Find the firm's short run shutdown price. (Do not include a $ sign in your response. Round to the nearest two decimal places if necessary.) Answer: mulll' I Iugil!- ml!l!= I Hill-I - iIIIIII 3 Output (q) The graph above shows a firm's Marginal Cost (MC), Average Total Cost (ATC), Average Variable Cost (AVC) and Marginal Revenue (MR). This price taking firm will be taking a loss in the short run (profits are negative). Calculate the dollar amount of the loss. (Include a negative sign in your response. Do not include a $ sign in your response. Round to the nearest two decimal places if necessary.) Answer: Suppose there is free entry in the market for microphones. The demand for microphones is given by: 0D: 176-7P. All firms that produce microphones have identical long run average total cost functions given by: ATC = 32/q + 4 + 20]. Calculate the long run number of firms in this market. Answer: Suppose there was an industry with 5 identical firms with marginal cost given by: MC: 10 + 2.5q. Use horizontal summation to find the total supply function for this industry. Fill in the blanks below. Qs=2P- (Round to the nearest two decimal places if necessary. You will not need to include a negative Sign in your response.)