Question

21. In a competitive market the price is $8. A typical firm in the market has...

21. In a competitive market the price is $8. A typical firm in the market has ATC = $6, AVC = $5, and MC = $8. How much economic profit is the firm earning in the short run?

22. Consider a firm operating in a competitive market. The firm is producing 40 units of output, has an average total cost of production equal to $6, and is earning $240 economic profit in the short run. What is the current market price?

23. The short-run supply curve for a firm in a perfectly competitive market is

24. Which of these curves is the competitive firm's short-run supply curve?

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