Using the following data, calculate the profit-maximizing quantity and price. Find the average total cost and use this to write out the equation for the firm’s profit. Market demand for monopolist’s product: P = 100 – Q Marginal revenue for monopolist: MR=100-2Q ATC for monopolist: ATC = 5 + 1/2Q MC for monopolist: MC = 20 + 3 Q

Using the following data, calculate the profit-maximizing quantity and price. Find the average total cost and use this to write out the equation for the firm’s profit. Market demand for monopolist’s product: P = 100 – Q Marginal revenue for monopolist: MR=100-2Q ATC for monopolist: ATC = 5 + 1/2Q MC for monopolist: MC = 20 + 3 Q

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter28: Antitrust And Regulation

Section: Chapter Questions

Problem 8E

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