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The Hauserweyer Corporation produces and sells paper in a perfectly competitive market for wholesale generic printer...

The Hauserweyer Corporation produces and sells paper in a perfectly competitive market for wholesale generic printer paper, in which other firms charge a price of $150 for each 6-box set of paper. The firm’s total cost function is TC = 900 + 10Q + 2Q2, which includes all economic costs. Q denotes quantity of paper produced per week (in thousands of 6-box sets). Marginal cost is MC = 10 + 4Q.

  1. (6 points) How much output should Hauserweyer produce in the short run?
  2. (6 points) What price should Hauserweyer charge in the short run?
  3. (4 points) What is the dollar amount of Hauserweyer’s short-run weekly total profits from paper production and sales?
  4. (4 points) What adjustments should Hauserweyer anticipate in the long run?
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