Profit at the average cost-minimizing activity level


Please assist with the given problem.

Optimization:

Giant Screen TV, Inc, is a manufacturer and distributor of high-resolution 50-inch television monitors and consoles for individual and commercial customers. Revenue and cost relations are:

TR = $4,500Q - 0.1Q^2

MR = $4,500 - 0.2Q

TC = $2,000,000 + $1,500Q + 0.5Q^2

MC = $1,500 + $Q

Question 1: Calculate output, marginal cost, average cost, price, and profit at the average cost-minimizing activity level.

Question 2: Calculate these values at the profit-maximizing activity level.

Question 3: Compare and discuss your answers to part A and B.

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Microeconomics: Profit at the average cost-minimizing activity level
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