# ECO 550 WEEK 6 DISCUSSION - 83700

Solution Posted by

## olufunmilola

Rating : (9)A+
Solution Detail
Price: \$14.00
• Posted on: Tue 30 Dec, 2014
• Request id: None
• Purchased: 1 time(s)
• Average Rating: No rating
Request Description
1) "Market Structures" Please respond to the following: • * From the scenario, assuming Katrina’s Candies is operating in the monopolistically competitive market structure and faces the following weekly demand and short-run cost functions: VC = 20Q+0.006665 Q2 with MC=20 + 0.01333Q and FC = \$5,000 P = 50-0.01Q and MR = 50-0.02Q *Where price is in \$ and Q is in kilograms. All answers should be rounded to the nearest whole number. • o Algebraically, determine what price Katrina’s Candies should charge in order for the company to maximize profit in the short run. Determine the quantity that would be produced at this price and the maximum profit possible. 2) Maximizing Revenue" Please respond to the following: • * From the scenario, assuming Katrina’s Candies is operating in the monopolistically competitive market structure and faces the following weekly demand and short-run cost functions: VC = 20Q+0.006665 Q2 with MC=20 + 0.01333Q and FC = \$5,000 P = 50-0.01Q and MR = 50-0.02Q *Where price is in \$ and Q is in kilograms. All answers should be rounded to the nearest whole number. • o Algebraically, determine what price Katrina’s Candies should charge if the company wants to maximize revenue in the short run. Determine the quantity that would be produced at this price and the maximum revenue possible NOTE: TWO DIFFERENT ANSWER POSTED AS A BONUS CHOOSE ONE
Solution Description

SEE ATTAC

Attachments