Face masks are manufactured by identical shops (and sold on Etsy). Each shops's total cost of...

Face masks are manufactured by identical shops (and sold on Etsy). Each shops's total cost of production is equal to 0.5q²+4q+18

where q is the number of masks produced.

The demand for masks is given by Q=1800-60p

where Q is the quantity demanded and P is the price. How many masks will be sold? How many firms will there be in the mask industry?

Show your work.

Expert Solution

Rahul Sunny answered 2 years ago

Khan Inc. is a small manufacturer of face masks. Last year, 50,000 masks were sold for...

Khan Inc. is a small manufacturer of face masks. Last year, 50,000 masks were sold for $20 each. The income statement is as follows: Sales 1,000,000 Less variable cost 400,000 Less fixed cost 200,000 EBIT 400,000 Less interest 125,000 EBT 275,000 Less tax 40% 110,000 EAT 165,000 EPS (100,000 shares) 1.65 Find DOL, DFL and degree of total leverage. If sales increase by 5% what effect will it have on the EPS?

Sing Mask is a local enterprise that manufactures surgical face masks that are sold locally as...

Sing Mask is a local enterprise that manufactures surgical face masks that are sold locally as well as exported to the region. Due to a forecasted surge in demand for the next 3 years, Sing Mask decides to make its operations non-stop with a production line that runs 24 hours a day and everyday throughout the whole year, including public holidays. Now is the last week of December and you are the Operations Manager overseeing manpower planning. Sing Mask’s Sales...

In the Schedule of Cost of Goods Manufactured and Cost of Goods Sold, the cost of...

In the Schedule of Cost of Goods Manufactured and Cost of Goods Sold, the cost of goods manufactured is computed according to which of the following equations? Multiple Choice Cost of goods manufactured = Total manufacturing costs + Beginning finished goods inventory – Ending finished goods inventory Cost of goods manufactured = Total manufacturing costs + Beginning work in process inventory – Ending work in process inventory Cost of goods manufactured = Total manufacturing costs + Ending work in process...

The market for wheat consists of 500 identical firms, each with the total and marginal cost...

The market for wheat consists of 500 identical firms, each with the total and marginal cost functions shown: TC = 90,000 + 0.00001Q2 MC = 0.00002Q, where Q is measured in bushels per year. The market demand curve for wheat is Q = 90,000,000 - 20,000,000P, where Q is again measured in bushels and P is the price per bushel. a. Determine the short-run equilibrium price and quantity of each firm. b. Calculate the firm's short-run profit (loss) at that...

An industry is perfectly competitive. Each firm is identical and has a total cost function T...

An industry is perfectly competitive. Each firm is identical and has a total cost function T C(q) = 50 + 2q^2 . The market demand function for products is Q = 1,020 − P, where P is the market price. (a) Below, graph the firm’s short-run supply curve and provide a brief explanation. q*=____ Q*=____ P*=______. N*=______ (b) What is the long-run equilibrium firm quantity (q), market quantity (Q), price, and number of firms (N)? q*=____ Q*=____ P*=______. N*=______ (c)...

Preparation of a Schedule of Cost of Goods Manufactured and Cost of Goods Sold The following...

Preparation of a Schedule of Cost of Goods Manufactured and Cost of Goods Sold The following cost and inventory data for the year just completed are taken from the accounting records of Eccles Company: Costs incurred: Advertising expense ...........................$100,000 Direct labour cost ..................................$80,000 Purchases of raw materials ................$137,000 Rent, factory building ............................$80,000 Indirect labour .......................................$56,300 Sales commissions................................$35,000 Utilities, factory ........................................$9,000 Maintenance, factory equipment ...........$24,000 Supplies, factory ........................................ $700 Depreciation, office equipment.................$8,000 Depreciation, factory equipment ............$40,000 Beginning End of...

Prepare a Schedule of Cost of Goods Manufactured and a Schedule of Cost of Goods Sold...

Prepare a Schedule of Cost of Goods Manufactured and a Schedule of Cost of Goods Sold and Income Statement; this ie the jouranl entries Pre-determined manufacturing overhead rate = Total estimated manufacturing overheads / Estimated direct labor hours = = $3600/12 hours = $300 per direct labor hour Step 2: Cost Sheet Job # 1 Direct materials $ Table top 2000 Legs ($650 x 4) 2600 Drawer 0 4600 Direct labor cost @ $20 per hour (3x2x$30) 180 Manufacturing overheads...

In Italy, COVID-19 special commissioner Domenico Arcuri announced that surgical face masks must be sold at...

In Italy, COVID-19 special commissioner Domenico Arcuri announced that surgical face masks must be sold at no more than 50 European cents (76 cents CAD) plus tax. 2 What short-term impacts do you expect this will have on the market for surgical masks in Italy.

Suppose that there are 5 hamburger stands each with identical short-run total cost curves described as: ...

Suppose that there are 5 hamburger stands each with identical short-run total cost curves described as: SRTC=16+(Q2/100) where Q is the number of hamburgers each stand produces per day. If the daily market demand for this perfectly competitive market is Qd=900-200P, how much profit will each stand make per day (if any)?

A competitive industry includes a large number of identical firms. Each firm has the total cost...

A competitive industry includes a large number of identical firms. Each firm has the total cost function TC(q) = q2 + 25. It can be shown that each firm’s marginal cost function is MC(q) = 2q. a. Derive an equation for a single firm’s supply equation.. b. Derive the individual firm’s average total cost equation. Show your work. Now suppose the market price of the firms’ output is $8. c. What will each firm’s profit-maximizing output be equal to? d....

Question