Assume that a firm in perfectly competitive industry has the following total cost schedule Q TC

Question

TC

10 110

15 150

20 180

25 225

30 300

35 385

40 480

a) Calculate the marginal cost and average cost schedule for the firm. b) If the prevailing market price is $17 per unit, how many units will be produced and sold? What at the profits per unit? What are the total profits? c) Is the industry in long-run equilibrium at this price?

Economics