Assume that a competitive firm has the total cost function: TC=1q3−40q2+890q+1800 Suppose the price of the...

Assume that a competitive firm has the total cost function: TC=1q3−40q2+890q+1800 Suppose the price of the firm's output (sold in integer units) is $600 per unit. Using tables (but not calculus) to find a solution, what is the total profit at the optimal output level? Please specify your answer as an integer. STUDENT NOTE: I already know the answer, but can you help me with how to calculate the numbers under Total Cost. I know where 2651 comes from but I dont understand how to get the rest under this column.

Q	TC	MC
0	1800
1	2651	851
2	3428	777
3	4137	709
4	4784	647
5	5375	591
6	5916	541
7	6413	497
8	6872	459
9	7299	427
10	7700	401
11	8081	381
12	8448	367
13	8807	359
14	9164	357
15	9525	361
16	9896	371
17	10283	387
18	10692	409
19	11129	437
20	11600	471
21	12111	511
22	12668	557
23	13277	609
24	13944	667

Expert Solution

Rahul Sunny answered 2 years ago

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