The Table below represents the cost curve of a firm in imperfect competition wit

Question

The Table below represents the cost curve of a firm in imperfect competition with one of its products.

1.complete the columns for ATC and MC.

2.Next use regression to find an equation for the MC curve

3.The demand curve is givien by Q=29-P. Plot the ATC, MC, demand curve and the marginal revenue curve in EXCEL.

4.Find the optimal quantity to produc if profits are to be maximized.

5.show the rectangle of total profits and compute them.

123.75

Q TC 1 10.58 2 18.67 3 24.75 4 29.33 5 32.92 6 36 7 39.08 8 42.67 9 47.25 10 53.33 11 61.42 12 72 13 85.58 14 102.67 15

123.75

Explanation / Answer

Q TC ATC MC 1 10.58 10.58 10.58 SUMMARY OUTPUT 2 18.67 9.335 8.09 3 24.75 8.25 6.08 Regression Statistics 4 29.33 7.3325 4.58 Multiple R 0.615815 5 32.92 6.584 3.59 R Square 0.379228 6 36 6 3.08 Adjusted R Square 0.331477 7 39.08 5.582857 3.08 Standard Error 4.453322 8 42.67 5.33375 3.59 Observations 15 9 47.25 5.25 4.58 10 53.33 5.333 6.08 ANOVA 11 61.42 5.583636 8.09 df SS MS F Significance F 12 72 6 10.58 Regression 1 157.5 157.5 7.94168 0.014518 13 85.58 6.583077 13.58 Residual 13 257.817 19.83208 14 102.67 7.333571 17.09 Total 14 415.317 15 123.75 8.25 21.08 Coefficients Standard Error t Stat P-value Lower 95% Upper 95% Lower 95.0% Upper 95.0% Intercept 2.25 2.419749 0.929849 0.369395 -2.97755 7.47755 -2.97755 7.47755 X Variable 1 0.75 0.266137 2.818099 0.014518 0.175046 1.324954 0.175046 1.324954 Thus, regression equation = MC = 0.75Q + 2.25

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.