Assignment 2;Office building maintenance plans call for the stripping, waxing, and buffing of ceramic floor tiles. This work is;contracted out to office maintenance firms, and both technology and labor requirements are very basic.;Supply and demand conditions in this perfectly competitive service market in New York are;QS = 2P - 20;(Supply);QD = 80 - 2P;(Demand);- where Q is thousands of hours of floor reconditioning per month, and P is the price per hour.;A. Algebraically determine the market equilibrium price/output combination.;B.;Use a graph to confirm your answer.;For the graph, use prices: 10, 20,30,40,50,60,70,80,90;and Quantities:5,10,15,20,25,30,35,40,45,50,55,60,65;The figure below shows a firm in a perfectly competitive market;a. Find the price below which the firm will go out of business.;b. What is the firms long run supply curve?
Paper#29341 | Written in 18-Jul-2015Price : $27