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QUESTION 17 Suppose that a firm’s short-run total costs are given by STC = 0.25q2 +...

QUESTION 17

Suppose that a firm’s short-run total costs are given by STC = 0.25q2 + 10q + 500. If this firm behaves as a price taker, what is the equation of the short-run supply?

q=(1/2)p-10

q=(1/2)p+10

q=2p+20

q=2p-20

4 points

QUESTION 18

A firm faces the following demand curve: Q=100-4P. Total costs are TC=14Q. What level of output maximizes profit?

43/2

88

44

14

4 points

QUESTION 19

Suppose there are 1000 firms each with a short run total cost of STC=q²+(1/2)q+5. If market demand is Q_D=200-50p, what is the equilibrium price?

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		q=(1/2)p-10
		q=(1/2)p+10
		q=2p+20
		q=2p-20

		43/2
		88
		44
		14