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Please, explain step-by-step how to do this exercise on a spreadsheet: A competitive...

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Accounting

Please, explain step-by-step how to do this exercise on a spreadsheet:

  1. A competitive firms cost-producing q units of output is () = 18 + 4 + 2.
    1. The firm faces a market price of P = $24. Create a Spreadsheet with = 0,1,2, ,15, where the columns are , , , , , , , and profit. Determine the profit-maximizing output for the firm and the corresponding profit. Should the firm produce this level of output, or should it shut down? Explain briefly.
    2. Suppose the competitive price declines to P = $12. Repeat the calculations of part a. should the firm shut down?
    3. Draw the firm's supply curve.
    4. Suppose there are 100 firms operating in this competitive market. The cost of production for 50 of them is () = 18 + 4 + 2 and the cost of production for the other 50 firms is () = 20 + 6 + 42. Find the market supply curve in the short run and draw it.

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