Suppose you are a manager of a watch making firm operating in a competitive market.

Suppose you are a manager of a watch making firm operating in a competitive market. Your cost of production is given by C = 100 + Q2, where Q is the level of output and C is the total cost. The marginal cost is 2Q. The marginal cost of production is 2Q.

i)if the price of watch is $60, how many watches should you produce to maximize profit?

ii)what will your profit level be? Will there be entry or exit?

iii)at what minimum price will you produce a positive output?

iv)find the short run supply curve of the firm