Q5

Bui

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Oct 19, 2010, 7:58:39 PM10/19/10

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5a) same
5b) same
5c)

i.MC=MR0: roughly (2700,7.5)
ii. MC=MR1: roughly (2250,4)

Paola

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Oct 19, 2010, 11:04:42 PM10/19/10

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Hi there

When MC=MRo i agree Q should be around 2700 but i believe the price
should be between 11 and 12? could you let me know what you think?

Thanks

Goran

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Oct 20, 2010, 11:19:44 AM10/20/10

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Hi Paola,
At price between 11 and 12 yoir MRo would be approx 11. That would
not satisfy MC=MRo at 2750.

Graphing the two curves I also see the intersect at around 2750Q and
around 8P

Let's discuss further tonight...

> > ii. MC=MR1: roughly (2250,4)- Hide quoted text -
>
> - Show quoted text -

Paul & Paola Wilkinson

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Oct 21, 2010, 2:11:19 PM10/21/10

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Guys

Sorry for insisting but the value of 7.5 you are giving does not correspond to the price which is what is being ask, that value of 7.5 is just the point where MC and MR intersect, so when MR and MC are equal to 75, i believe we need to find the price that corresponde to that point, which is the price for Q=2700 and if you look to the MR schedule that price is between 10 and 11, i am just trying to get the right answer.....

are you going to the session on saturday... may be we can disccuss there.

let me know your thoughts.

Phil Roberts

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Oct 21, 2010, 4:54:57 PM10/21/10

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Does anyone have graphs for this question?

Samer Fahmy

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Oct 22, 2010, 2:05:11 AM10/22/10

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I am getting the same thing as Paola. The price for part c (i) i am getting is between 10 and 11, and for (ii) between 9 and 8.

You have to match the quantity back to the second table to get the price, the intersection point in the chart is the Q at which MR=MC, then you match that Q to the price given in the table.

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