--%>

Problem based on level of output

Assume that a competitive firm's marginal cost of generating output q is specified by MC(q) = 3 + 2q. Suppose that the market price of the firm's product is $9: What level of output will the firm generates?
To maximize profits, the firm have to set marginal revenue equivalent to marginal cost. Given the fact that this firm is operating in a competitive market, the market price it faces is equivalent to marginal revenue. Therefore, the firm have to set the market price equivalent to marginal cost to maximize its profits:
                                                                                                   9 = 3 + 2q, or q = 3.

   Related Questions in Biology

  • Q : What is Alignment Evaluation Alignment

    Alignment Evaluation: This is the final step of sequence alignment. By comparing the alignment of sequences and alignment of their 3D structures we can assess its accuracy. This is possible of course only when we are working with family of proteins fo

  • Q : Define Project Priorities Project

    Project Priorities:A) Remember the performance “triangle” B) Effective project managers know the importance of forcing a prioritisation between these criteria, rather than merely saying all are eq

  • Q : Databases of Structures from Homology

    Databases of Structures from Homology Modeling: Now a days we have databases in which we have structures obtained from homology modeling. The following are the databases. • Modbase• SWISS-MODEL Repo

  • Q : Placenta and its main function State in

    State in which type of the animals does placenta is present? Explain its main function?

  • Q : Comparison of Structural Databases

    Explain the Comparison of Structural Databases Scop, Cath and Dali. And also describe their classification?

  • Q : Name of the DNA duplication procedure

    Write down the name of the DNA duplication procedure? And also write down the main enzyme which participates in it?

  • Q : What is Employee Retention Employee

    Employee Retention: This refers to the different policies and practices that let the employees stick to an organization for a longer time period. Every organization invests money and time to groom a new joinee, make him a business ready material and b

  • Q : Define Team Building Team Building : It

    Team Building: It is a procedure which develops cooperation and teamwork in a work unit. To comprise an efficient team, its members should share a common goal, encompass respect for each other, and be provoked to use the strengths of each member to at

  • Q : What kind of membrane is the cell

    Regarding permeability what kind of membrane is the cell membrane?

  • Q : What are long bones and flat bones What

    What are long bones and flat bones?