please i want a clear answer for (c,d and e ) thank you A perfectly competitive

Question

please i want a clear answer for (c,d and e )
thank you

A perfectly competitive fim has estimated its average variable AVC 20-0.049+0.0000s0 Its total fixed cost is $500. The marginal cost function associated with this AVC function is MC- a b. AVC reaches its minimum at The forecasted price is P- $23.60. c. To maximize its profit the firm should produce -units of output at which AVC $ uceunits of output. Profit (loss) is $ Suppose the forecasted price is P- $14.94. d. To maximize its profit, the firm should produce units of output. Profit (loss) is $ . Suppose the forecasted price is P-$10. units of output for a profit (loss) of e. The firm should produce

Explanation / Answer

         = 20Q – 0.04Q2 + 0.00005Q3

Therefore, SMC = d(TVC)/dQ

                           = 20 – 0.08Q + 0.00015Q2

Thus, AVC reaches its minimum at Q = 400 and at this point,

AVC = $[

Therefore, in equilibrium, P=MC

Profit = $[(23.6*575) – (20*575 – 0.04*5752 + 0.00005*5753 + 500)] = $6289.53

When, P=$14.94

Profit = $[(14.94*460) – (20*460 – 0.04*4602 + 0.00005*4603 + 500)] = $769.6

However, in the absence of the information of the demand conditions of the economy, it is not possible to compute the profit-maximizing level of output and therefore the corresponding profit.

When, P=$10

Q = 0 since P<min(AVC).

Therefore, profit = $0

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