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Suppose Dan's cost of making pizzas is C(Q)=6Q+(Q^2/160) and his marginal cost is MC=6+(Q/80) Dan is a price taker. a. What is Dan's supply function?
Suppose Dan's cost of making pizzas is
C(Q)=6Q+(Q^2/160)
and his marginal cost is
MC=6+(Q/80)
Dan is a price taker.
a. What is Dan's supply function?
A. Q = 160P + 480 if P 6.
B. Q = 80P - 80 if P 6.5.
C. Q = 80P - 480 if P 6.
D. Q = 80P + 480 if P 6.
E. Q = 80P - 160 if P 6.5.
b. What if Dan has an avoidable fixed cost of $10? What is Dan's supply function?
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