Select a linear cost function equation for each of the following conditions. Use y for estimated costs and X for activity of the cost driver. a.Direct materials cost is $1.40 per poundb. Total cost is fixed at $ 8 comma 500 per month regardless of the number of units produced. c.Auto rental has a fixed fee of $70.00 per day plus $2.00 per mile driven. d.Machine operating costs include $1 comma 600 of maintenance per month, and $10.00 of coolant usage costs for each day the machinery is in operation.

Martha is one producer in the perfectly competitive jelly industry. last year, martha and all of her competitors found themselves earning economic profits. if there is free entry and exit, what do you expect to happen to the number of suppliers in the industry and the price of jelly? the number of suppliers will increase, and the price of jelly will fall. the number of suppliers will decrease, and the price of jelly will increase. the number of suppliers will increase, and the price of jelly will increase. the number of suppliers will decrease, and the price of jelly will fall.