Please give an explanation on why the answer is "A" 10. The competitive firm’s supply curve...
Please give an explanation on why the answer is "A"
10. The competitive firm’s supply curve is equal to
a. the portion of its marginal cost curve that lies above the AVC
b. the portion of its marginal cost curve that lies above the AFC
c. its marginal cost curve.
d. the portion of its marginal cost curve that lies above the AC
Homework Answers
In a perfectly competitive firm, the minimum price that is actually is the average variable cost so that it can recover the variable cost atleast through its revenue. If price is below AVC, the firm has to shut down. The price is equal to MC at the profit maximizing point and that is the reason why supply curve is actually the portion of MC that lies above AVC.
Therefore (a) is the answer.
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Please give an explanation on why the answer is "A"
10. The competitive firm’s supply curve...
“That segment of a competitive firm’s marginal-cost curve that lies above its average-variable-cost curve constitutes the...
“That segment of a competitive firm’s marginal-cost curve that lies above its average-variable-cost curve constitutes the short-run supply curve for the firm.” Explain.
14) Which company is most likely to be less efficiently managed? a) U.S. Postal Service b) UPS c)...
Please answer all multiple choices . i would be very
thankful
14) Which company is most likely to be less efficiently managed? a) U.S. Postal Service b) UPS c) FedEx d) AppleS IC AC AVC 30 20 4 10 20 30A 40 50 60 70 80 67 OUTPUT 34 79 The following questions 14 to 16 are based on the above graph 15) The profit-maximizing output is: a) 30 b) 54. c) 60 d) 67 e) 79 16) At the...
A perfectly competitive firm's short-run supply curve is a. perfectly elastic at the market price. b....
A perfectly competitive firm's short-run supply curve is a. perfectly elastic at the market price. b. horizontal at the minimum average total cost. c. upward sloping and is the portion of the marginal cost curve that lies above the average variable cost curve. d. upward sloping and is the portion of the marginal cost curve that lies above the average total cost curve. The reason that the coffeehouse market is monopolistically competitive rather than perfectly competitive is because Select one:...
please answer all 16. To say that a firm is a price taker means that: a....
please answer all
16. To say that a firm is a price taker means that: a. the firm's demand curve is perfectly inelastic b. the firm's marginal revenue curve is downward sloping c. the firm's average total cost curve is horizontal d. the firm can alter its output without influencing price e. all of the above 17. In a perfectly competitive market, the demand curve facing the firm is: a. identical to the market demand curve b. perfectly clastic even...
QUESTION 38 The supply curve for a competitive firm is - A)its entire MC curve. B)the...
QUESTION 38 The supply curve for a competitive firm is - A)its entire MC curve. B)the upward-sloping portion of its MC curve. C)its MC curve parallel to the minimum point of the AVC curve.D) its MC curve above the minimum point of the ATC curve.
Please answer the following 3 questions: QUESTION 1 In the short run, the perfectly competitive firm...
Please answer the following 3 questions:
QUESTION 1 In the short run, the perfectly competitive firm will always earn an economic profit when P MC. P ATC. P > AVC P > ATC. QUESTION 2 The demand curve faced by a perfectly competitive industry is horizontal slopes upward. has no slope. slopes downward. QUESTION 3 The short-run supply curve of a perfect competitor is its marginal revenue curve. its marginal cost curve equal to or above the minimum point on...
Multiple Choice - Choose the correct alternative 1. The long-run competitive market supply curve is: a)...
Multiple Choice - Choose the correct alternative
1. The long-run competitive market supply curve is: a) The portion of the firms MC curve that is above the ATC curve b) The portion of the firms MC curve that is above the AVC curve c) The horizontal summation of all the firm's short-run supply curves d) A curve that is equal to the minimum of ATC e) a) and d) 2. Suppose the firms production process is given by Q =...
Price, cost ATC AVC Quantity Based on the graph the supply curve for the perfectly competitive...
Price, cost ATC AVC Quantity Based on the graph the supply curve for the perfectly competitive firm depicted is most accurately represented by the segment: O O O O Price, cost Quantity Based on the graph above a perfectly competitive firm would never continue operations in short run if the price dropped to which segment of the marginal cost curve? O CE O AD O AC Осо
QUESTION 38 The supply curve for a competitive firm is O its entire MC curve. the...
QUESTION 38 The supply curve for a competitive firm is O its entire MC curve. the upward-sloping portion of its MC curve. its MC curve parallel to the minimum point of the AVC curve. its MC curve above the minimum point of the ATC curve.
competitive firm is the . 4. the vert Mive is atroduction. The short-run supply curve of...
competitive firm is the . 4. the vert Mive is atroduction. The short-run supply curve of ortion of its short-tun marginal cost curve that is competitive firm in the above its average variable cost curve, The o ward sloping an u petitive firm is the portion of its short-run marginal cost curve that supply curve of a Leuward-sloping and lies above its long-run average cost curve. Example: A firm has the long-run cost function cy) = 2y + 200 for...
Please answer all multiple choices . i would be very
thankful
14) Which company is most likely to be less efficiently managed? a) U.S. Postal Service b) UPS c) FedEx d) AppleS IC AC AVC 30 20 4 10 20 30A 40 50 60 70 80 67 OUTPUT 34 79 The following questions 14 to 16 are based on the above graph 15) The profit-maximizing output is: a) 30 b) 54. c) 60 d) 67 e) 79 16) At the...
please answer all
16. To say that a firm is a price taker means that: a. the firm's demand curve is perfectly inelastic b. the firm's marginal revenue curve is downward sloping c. the firm's average total cost curve is horizontal d. the firm can alter its output without influencing price e. all of the above 17. In a perfectly competitive market, the demand curve facing the firm is: a. identical to the market demand curve b. perfectly clastic even...
Please answer the following 3 questions:
QUESTION 1 In the short run, the perfectly competitive firm will always earn an economic profit when P MC. P ATC. P > AVC P > ATC. QUESTION 2 The demand curve faced by a perfectly competitive industry is horizontal slopes upward. has no slope. slopes downward. QUESTION 3 The short-run supply curve of a perfect competitor is its marginal revenue curve. its marginal cost curve equal to or above the minimum point on...
Multiple Choice - Choose the correct alternative
1. The long-run competitive market supply curve is: a) The portion of the firms MC curve that is above the ATC curve b) The portion of the firms MC curve that is above the AVC curve c) The horizontal summation of all the firm's short-run supply curves d) A curve that is equal to the minimum of ATC e) a) and d) 2. Suppose the firms production process is given by Q =...
Price, cost ATC AVC Quantity Based on the graph the supply curve for the perfectly competitive firm depicted is most accurately represented by the segment: O O O O Price, cost Quantity Based on the graph above a perfectly competitive firm would never continue operations in short run if the price dropped to which segment of the marginal cost curve? O CE O AD O AC Осо
QUESTION 38 The supply curve for a competitive firm is O its entire MC curve. the upward-sloping portion of its MC curve. its MC curve parallel to the minimum point of the AVC curve. its MC curve above the minimum point of the ATC curve.
competitive firm is the . 4. the vert Mive is atroduction. The short-run supply curve of ortion of its short-tun marginal cost curve that is competitive firm in the above its average variable cost curve, The o ward sloping an u petitive firm is the portion of its short-run marginal cost curve that supply curve of a Leuward-sloping and lies above its long-run average cost curve. Example: A firm has the long-run cost function cy) = 2y + 200 for...
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