Consider the costs for the following lobster producing firm in a perfectly competitive market: TC=80+10q+q^2 & MC=10+2q
a) From the total cost function(TC) derive the average total cost(ATC), average variable cost(AVC) and average fixed costs(AFC) functions.
b) What is the supply function for the firm? Write the supply function as a function of P.
c) Currently there are 500 lobster producers in the market with identical costs. What is the supply function for the market?
d) Using the market supply and demand functions for lobster, find the short run equilibrium price and quantity. How many lobsters did each individual firm sell?