ECON 545(DEVRY) help A Clearer path to student success/uophelp.com ECON 545(DEVRY) help A Clearer path to student suc | Page 24

Marginal Cost in order to derive your Supply curve for
the graphing component. You will need to explain and
show how Profit Maximization or Loss Minimization
output and price are determined. You will need to do
the math using actual figures [cited] or your own
estimated figures [identified as such] and explain why
you expect Short Run Economic or Normal Profits,
Acceptable Loss or temporary Shut Down and how you
will know which it is.
ii. The Number of Sellers determinant must contain your
analysis of the kind of market structure in which your
firm or labor service will be sold.
b. (20 points) Price Elasticity of Supply you have based on the
Cost of Production changes as output changes, including
actual calculation of it using the midpoint formula. If you
can’t find data, then determine the Price Elasticity from the
Characteristics and make up numbers to use. Be sure to
identify this if you use this approach. This will help you in
deciding the slope of your Supply curve.
c. (10 points) Graph your Supply situation using the numbers
from your earlier Cost of Production analysis.
3. Recommendations—(40 points) what are your recommendations
explained by your analysis?
4. Paper presentation—(10 points) good format, citations, lack of
spelling errors, etc.
Situation A
Jenny, your niece, is a smart high-school student who wants to make
intelligent choices for her future. Hearing of your course in business
economics, she has e-mailed you asking for advice on whether to
become a doctor and on the best location to practice it. She recognizes
the high costs of tuition and the years of study involved in becoming a