Consider a monopolist where the market demand curve for the produce is given by P = 520 2Q. This monopolist has marginal costs that can be expressed as MC = 100 + 2Q and total costs that can be expressed as TC = 100Q + Q2 + 50. a. Given the above information, what is this monopolists profit maximizing price and output if it charges a single price? b. Given the above information, calculate this single price monopolists profit. c. At the profit maximizing quantity, what is this monopolists average total cost of production (ATC)?
Consider a monopolist where the market demand curve for the produce is given by P = 520 2Q. This monopolist has marginal costs that can be expressed as MC = 100 + 2Q and total costs that can be expressed as TC = 100Q + Q2 + 50. a. Given the above information, what is this monopolists profit maximizing price and output if it charges a single price? b. Given the above information, calculate this single price monopolists profit. c. At the profit maximizing quantity, what is this monopolists average total cost of production (ATC)?
Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter9: Monopoly
Section: Chapter Questions
Problem 4SQ
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1. Consider a monopolist where the market demand curve for the produce is given by P = 520 2Q. This monopolist has marginal costs that can be expressed as MC = 100 + 2Q and total costs that can be expressed as TC = 100Q + Q2 + 50.
a. Given the above information, what is this monopolists profit maximizing price and output if it charges a single price?
b. Given the above information, calculate this single price monopolists profit.
c. At the profit maximizing quantity, what is this monopolists
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