a. What price and output would prevail if this firm's product was sold by price-taking firms in aperfectly competitive market?Profit-maximizing output:Profit-maximizingprice: $5 units9 The diagram below shows the demand, marginal revenue, and marginal cost of a monopolist.120110100-908070-605040-3020A100012345MR6MC789QuantityD10 11 (11, 0) 14 15

In this question, we delve into the concept of profit maximization within a perfectly competitive…

Answered: a. What price and output would prevail…

a. What price and output would prevail if this firm's product was sold by price-taking firms in a perfectly competitive market?

ENGR.ECONOMIC ANALYSIS

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ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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A: Ans a and b

Question

a. What price and output would prevail if this firm's product was sold by price-taking firms in a
perfectly competitive market?
Profit-maximizing output:
Profit-maximizing
price: $
5 units
9

The diagram below shows the demand, marginal revenue, and marginal cost of a monopolist.
120
110
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90
80
70-
60
50
40-
30
20
A
10
0
0
1
2
3
4
5
MR
6
MC
7
8
9
Quantity
D
10 11 (11, 0) 14 15

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