2 8) Answer the next question based on the demand and cost schedules for a monopolistically competitive firm givenin the table below.Quantity Demanded1318PriceTotal CostOutput$20$10182202162914361240109.426.What output quantity will the monopolistically competitive firm produce to maximize profits?A) 5 B) 2C) 6D) 3nrwer the next question

TR=P*Q TR(1)=1*20=20 and so on in the table MR=change in TR MR(2)=36-20=16 and so on MC=change in TC…

Price Quantity Demanded Total Cost Output $20 $10 18 20 2 16 29 14 4 36 12 40 10 6. 42 6. What output quantity will the monopolistically competitive firm produce to maximize profits? A) 5 B) 2 C) 6 D) 3

Price Quantity Demanded Total Cost Output $20 $10 18 20 2 16 29 14 4 36 12 40 10 6. 42 6. What output quantity will the monopolistically competitive firm produce to maximize profits? A) 5 B) 2 C) 6 D) 3

Principles of Microeconomics

7th Edition

ISBN:9781305156050

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter16: Monopolistic Competition

Section: Chapter Questions

Problem 8PA

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