Determine the level of output where average total cost


Problem

Suppose you have the following cost function: TC(Q)=0.0004Q3 - 0.09Q2 + 25Q + 339.

a. Determine the level of output where average total cost is minimizedb. Assume that the firm is part of a less than perfectly competitive. The firm faces the following downward sloping demand curve: P = 100 - 0.55Q where P is the per-unit price. Determine the level of output where profits are maximized. Define profits as Total Revenue - Total Cost.

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Microeconomics: Determine the level of output where average total cost
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