Carr Company provides human resource consulting services to small- and medium-sized companies. Last year, Carr provided services to 800 clients. Total fixed costs were $540,000 with total variable costs of $96,000. Based on this information, complete the following chart:. 600 clients 900 clients 1,000 clients
Total costs
Fixed costs
Variable costs
Total costs
Cost per client
Fixed cost
Variable cost
Total cost per client

answer: in the short-run firms will respond by raising the price of turkey.

explanation: initially the long-run equilibrium is at a price of $5 per pound of turkey and a quantity of 50 million pounds per year. now, when webmd claims that a protein found in turkey will increase your expected lifespan by 4 years. the consumers demand for turkey will increase at every price shifting the demand curve to the right from d1 to d2. while, there will be no change in the supply curve in the short-run as it is not possible for producers to adjust supply so quickly. as a result the new equilibrium will occur at a higher price and a higher quantity of turkey.

thus, in the short run firms will respond by increasing the price of turkey, selling more quantity at a higher price and earning economic profits.