Question

A perfectly competitive firm has the following cost function: C(q) = q^2 + 5q + 20...

A perfectly competitive firm has the following cost function:
C(q) = q^2 + 5q + 20
a. If the P = 25, what level of q should the firm produce to maximize its profits? How much
profit does the firm earn at this level of q?
b. Solve for the firm’s supply function. Illustrate the supply function on a graph.
c. If there are 10 identical firms in this market, what is the industry supply function?

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