ECON 221 Diablo Valley College Total Revenue & Perfectly Competitive Market HW
This is a firm in a perfectly competitive market. The selling price is $5.
Fill in the table below and enter the answers to the questions down below:
1-How many units should be produced?
2- What will be the profit per unit?
3- What will be the total profit?
4- If the price were to drop to $4 how many units should be produced?
5- What will be the total profits?
6- If the price falls to $1, how many units should be produced?
7- At what price will you break even?
8- At what price should the company close down?
9- At what price will you be minimizing losses?
10- There are 2 ways of calculating the change in total profits. List and explain what information you would use.