4. The market demand function for birthday cards in Greenwich Village is: P= 100 - 100. The total cost function for producing birthday cards is: C = 60 + 20q. Suppose that a firm can perfectly price discriminate (i.e. conduct first-degree price discrimination). How much will its profits be?

4. The market demand function for birthday cards in Greenwich Village is: P= 100 - 100. The total cost function for producing birthday cards is: C = 60 + 20q. Suppose that a firm can perfectly price discriminate (i.e. conduct first-degree price discrimination). How much will its profits be?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Please use profit max formula(s)

Show step by step and write the answer at the end like "The max profit will be ___"

4. The market demand function for birthday cards in Greenwich Village is: P= 100 - 100. The
total cost function for producing birthday cards is: C = 60 + 20q. Suppose that a firm can
perfectly price discriminate (i.c. conduct first-degree price discrimination). How much will its
profits be?

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