A representative firm in a perfectly competitive, constant cost industry has a cost function T C =

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A representative firm in a perfectly competitive, constant cost industry has a cost function T C = 100+4Q 2+ 100Q.

(a) What are this firm fixed cost, variable cost and marginal cost?

(b) What is the long-run equilibrium price for this industry?

(d) What is the most that this firm would be willing to pay for the exclusive right to use this new technology?

Related Book For answer-question

Microeconomics and Behavior

ISBN: 978-0078021695

9th edition

Authors: Robert Frank

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Posted Date: Mar 09, 2024 08:16 AM

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A representative firm in a perfectly competitive, constant cost industry has a cost function T C =

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a Fixed cost FC is the constant term in the cost function which is 100 Variable cost VC is the term ... View the full answer

Microeconomics and Behavior

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