A Firm Can Produce Any Quantity of Good X with the Following

question 40

Multiple Choice

A firm can produce any quantity of good X with the following cost structure: TC = 450,000 + 20Q, where Q measures units of output. The industry demand for good X is Q = 100,000 - 500P. Suppose the profit-maximizing quantity for a single firm is split between two firms, both of which have the cost structure of TC = 450,000 + 20Q, where Q measures units of output. In this case, the average total cost for each firm is $____.

• A) 50
• B) 40
• C) 30
• D) 20

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Definitions:

Hybrid Rule Making

A regulatory process that combines elements of both formal rulemaking, involving public hearings, and informal rulemaking through written comments.

Cross-Examination

Cross-Examination is the questioning of a witness by the opposing party during a trial or hearing, after the witness has already testified during direct examination.

Informal Public Hearing

A non-judicial meeting where concerned parties and public members can express their opinions and concerns on specific issues.

License Revocation

The formal cancellation of a license, rendering the individual or entity previously holding the license ineligible to continue the activity legally.