Answer Happy

3. The following problem traces the relationship between firm decisions, market supply, and market equilibrium in a perfectly competitive market. (1) Complete the following table for a single firm in the short run. (5 points) a МСО) e TFC ATCO TVCO) AVCO) TCO) 0 1 2 3 4 5 $300 $0 300 100 300 150 300 210 300 290 300 400 300 540 300 720 300 950 300 1,240 300 1,600 300 400 450 510 590 700 840 1020 1250 1540 1900 100 75 70 72.5 80 190 102.86 118.75 137.76 160 400 22S 170 147.5 140 140 745.21 156.25 171.11 190 100 SO 60 80 110 140 180 230 290 360 6 7 8 9 10
(2) Using the information in the table, fill in the following supply schedule for this individual firm under perfect competition, and indicate profit (positive or negative) at each output level. (5 points) Price Profit Quantity Supplied $50 70 100 130 170 220 280 350