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Using the aid of a diagram how can a perfectly competitive firm make supernormal profit in a shortrun?
It makes "supernormal profit" (aka. economic profit), by having the price exceed Average Cost. Remember that PRICE is also Average revenue AND demand. So that being said, P=AR=D. Because, if they are receiving more money than it cost them to make the product, it is profitable. It is also important to keep in mind that it is impossible for a perfectly competitive firm to make "supernormal profits" in the long run. It can only be done in the short run. That is a very basic explanation of it, as I did not even mention accounting profit. However, that should be enough info. Here's the diagram you'll want to follow: http://wpcontent.answers.com/wikipedia/en/thumb/9/90/Perfect_competition_in_the_short_run.PNG/300px-Perfect_competition_in_the_short_run.PNG
What else can I help you with?
Linear demand curve diagram?
A Linear Demand Curve Diagram is a diagram that shows how an object or person is shown from youngest to oldest or tallest to shortest
Illstrurate te effect od subsidy in a market by using a demand and a supply diagram?
use a demand and supply diagram to illustrate the effect of a subsidy.
What is Table and diagram of law of variable proportion?
it elasticity
Which economic concept can be inferred from this diagram?
self-sufficiency
Explain four sector model with circular-flow diagram?
explain with the help of diagram circular flow of income model in a four sector economy?
What does a diagram of a perfectly competitive market look like?
A diagram of a perfectly competitive market typically shows a horizontal demand curve representing perfect competition, a horizontal supply curve at the market price, and a point where supply equals demand to show equilibrium. It also includes the producer and consumer surplus to illustrate market efficiency.
How do you use the world diagram in a sentence?
That's a very nice diagram.
In probability why would a table be used instead of a tree diagram?
There is no particular reason. There are times when a table is more useful and others where a tree diagram is better. If the probability of an event changes according to the outcome of an earlier event (for example picking cards without replacing) then a table will be close to useless whereas a tree diagram is perfectly suited.
Where is the sun on the Hertzprung-Russell diagram?
The sun is located on the main sequence of the Hertzsprung-Russell diagram, specifically in the middle region known as the "G-type" or "yellow dwarf" star category. This is where stars like the sun primarily reside during their hydrogen-burning phase.
Diagram of the animal cell?
neat diagram
What is an alternate name for an electric diagram?
There is no "proper name" for an electrical diagram. They are commonly called circuit diagrams.
Is a bar model a diagram?
yes it is a diagram its a cb4 diagram
What is Visualisation diagram?
its a diagram
What is a diagram for?
What is a sentence for diagram
Write the program with flowchart do not cheat?
You have start diagram follow by input diagram and output diagram, then exit diagram.
What is the conext diagram for the school?
DFD diagram stands for Data flow diagram . DFD are also known as Context diagram.
Diagram of a cuboid?
diagram of cuboid
