Expected sales next year are 40,000 units with a standard deviation of 4,000 units. 1. Determine the probability that CoolAire will incur an operating loss.
Expected sales next year are 40,000 units with a standard deviation of 4,000 units.
 Determine the probability that CoolAire will incur an operating loss.

Determine the probability that CoolAire will operate above its breakeven point.

Assume that a firm in a perfectly competitive industry has the following total cost schedule:
a. Calculate a marginal cost and an average cost schedule for the firm.
b. If the prevailing market price is $17 per unit, how many units will be produced and sold? What are profits per unit? What are total profits?
c. Is the industry in longrun equilibrium at this price?