The graph shows demand and marginal cost for a perfectly competitive firm.

If the firm is producing 100 units of output, decreasing output by one unit would the firm’s profit by $ .

Firm A and firm B both have total revenues of $200,000 and total costs of $260,000.

Firm A has total fixed costs of $90,000, while firm B has total fixed costs of $20,000.

Which of the following statements are true in the short run?

I. Firm A should operate.

The next 3 questions refer to the following total cost schedule for a competitive firm:

If market price is $80, the maximum profit the firm can earn is $ .

If market price is $60, the maximum profit the firm can earn is $ .

If market price is $40, the firm will produce units of output.

The next 3 questions refer to the following:

The table below shows a competitive firm's short-run production

function.

The sixth unit of labour adds $ to the firm's total revenue.

If the wage rate is $200, the firm will employ units of labour.

If market price for the firm's product increases to $7, at the same wage rate of $200 the firm will earn a profit of $ .

The figure above shows cost curves for a perfectly competitive firm.

Suppose that market price is $5.70. A firm producing 1,200 units of output should produce units of output instead, to earn profits of $ .

A profit-maximizing firm will break even when market price is $ .

If market price is $3.70, a profit-maximizing firm will produce units of output and earn profits of $ .

The graph shows the short-run cost curves for a firm in a perfectly competitive market.

If market price is $6:

 - profit-maximizing level of output is .

 - Total Fixed Cost is $ .

 - Total Variable Cost is $ .

 - for the profit maximizing output the firm should hire units of labour.

If market price is $4:

 - profit-maximizing level of output is .

 - the firm's profit is $ .

If market price is $3:

 - profit-maximizing level of output is .

 - the firm's profit is $ .