You work for a company that is being accused of monopoly behavior, given its large size.Comparisons are made to the industry standard, where each establishment has on averageabout 15.8 employees. Your company is quite a bit bigger than that, but you want to provideevidence against the monopoly charges.a. Youâve collected data at different times in your companyâs history, when you haddifferent amounts of capital.In 1990, SRATC = 1.875Q2 â 18.75Q + 116.88In 2000, SRATC = 1.875Q2 â 56.25Q + 500In 2010, SRATC = 1.875Q2 â 37.5Q + 237.5Plot these three different SRATC curves (have Q go from 0 to 20), and discuss how (andwhy) your company has changed since 1990 in terms of its size.b. Make another column labeled âLRATCâ that includes three points: 1990âs SRATC whenQ = 2; 2000âs SRATC when Q = 18, and 2010âs SRATC when Q = 10. Plot a 2 nd-degreepolynomial trendline to represent your companyâs LRATC.c. In a more competitive industry with smaller firms, typical LRATC curves follow LRATC100100= 18 Q2 âQ + 100. Using all available information in this question, present3an argument that could be used to justify your companyâs size.
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