PROBLEM 1 Suppose a single firm has total costs of production given by the equation TC = 49 +59² - 9³ and marginal cost given by: MC = 4+10q-q² where q> 0, is the quantity produced by a single firm. 1. Find the breakeven price and quantity for this firm? 2. Graph your findings by showing the breakeven price and quantity for this firm. ANSWER

PROBLEM 1 Suppose a single firm has total costs of production given by the equation TC = 49 +59² - 9³ and marginal cost given by: MC = 4+10q-q² where q> 0, is the quantity produced by a single firm. 1. Find the breakeven price and quantity for this firm? 2. Graph your findings by showing the breakeven price and quantity for this firm. ANSWER

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter5: Investment Decisions: Look Ahead And Reason Back

Section: Chapter Questions

Problem 5.6IP

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The table gives some of the costs of the Delicious Pie Company. The marginal cost per pie of increasing the output of pies from 100 to 200 is Total variable cost (dollars) Output (pies) 0 100 200 300 400 $8.00 $600 $6.00 $5.00 0 400 1,000 1,800 2,800 Total cost (dollars) 300 700 1300 2100 3100 ?
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