Suppose the table below describes the relationship between price and quantity demanded fora monopolist.Quantity12345678OIf the marginal cost of producing each unit of output is $5, then this monopolist maximizes itsprofit by charging __________ per unit.O$8$5$3Price$10$9$8$7$6$5$4$3$6

GIVEN: or marginal costPROBLEM:Find the cost per unit that will help maximize profits.

Suppose the table below describes the relationship between price and quantity demanded for a monopolist. Quantity 1 2 3 4 5 6 7 8 O Price $10 $9 $8 $7 If the marginal cost of producing each unit of output is $5, then this monopolist maximizes its profit by charging_________ per unit. $8 $5 $3 $6 $6 $5 $4 $3

Suppose the table below describes the relationship between price and quantity demanded for a monopolist. Quantity 1 2 3 4 5 6 7 8 O Price $10 $9 $8 $7 If the marginal cost of producing each unit of output is $5, then this monopolist maximizes its profit by charging_________ per unit. $8 $5 $3 $6 $6 $5 $4 $3

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Suppose the accompanying table describes the relationship between price and quantity demanded for a monopolist. Quantity Price 1 $ 10 2 9 3 8 4 7 5 6 6 5 7 4 8 3 If the marginal cost of producing each unit of output is $7, then this monopolist maximizes its profit by charging ______ per unit.
Suppose a monopolist's profit-maximizing output is 500 units per week and that the firm sells its output at a price of $50 per unit. The firm has total costs of $7,000O per week. Assume the monopolist is maximizing its profit and earns $35 per unit from the sale of the last unit produced each week. Instructions: Enter your answers as a whole number. a. What are the firm's weekly economic profits? 2$ b. What is the firm's marginal cost? 2$ c. What is the firm's average total cost?
Suppose a single-price monopolist decides to switch to second degree price discrimination. It sells the first block of 20 units at a price of $80 per unit. It sells the next block of 10 units at a price of $70 per unit. 100 90 80 MC 70 60 50 40 30 20 10 20 30 50 100 MR Consumer surplus under a single-price monopolist is equal to $_ a shift to second degree price discrimination is equal to $ and consumer surplus under 1250 ; 450 450 ; 300 900 ; 250 450 ; 250
Consider a monopolist with the following demand curve. Price: 24, 22 , 20, 18, 16, 14, 12, 10, 8, 6 Quantity Demanded: 1, 2, 3, 4, 5, 6, 7, 8, 9, 10 [All answers are integers with no units.] 1.If this firm has a marginal cost of $12 per unit, how many will they produce? 2.What will their profit be? 3.What will consumer surplus be? (Rectangle method!) 4.What is the efficient quantity?
The following table shows the total revenue and total cost for a monopolist at various levels of output. Output Total Revenue Total Cost 1 12 22 2 26 26 3 50 32 4 58 40 5 60 51 6 61 66 7 58 86 8 48 112 9 36 142 What is the marginal revenue associated with the sale of the fifth unit? $2 -$2 $10 -$10
answer quickly
Q14 Monopolists, like firms in other market structure, strive to maximize profit. Microsoft when it first came out with its Windows operating system was thought to be a monopolist. Assume that Microsoft is a monopolist and calculates that at its present output level, marginal cost is $5.50 and marginal revenue is $4.50. Microsoft could increase profits by Multiple Choice decreasing output and leaving price unchanged. increasing price and decreasing output. decreasing price and increasing output. leaving both quatity and price unchanged. decreasing price and leaving output unchanged.
The table below shows the marginal revenue and costs for a monopolist. Demand, Costs, and Revenues Price (dollars) Quantity Demanded $130 200 120 300 110 400 100 500 90 600 80 700 $50,000 O $80,000 $10,000 Marginal Revenue Marginal Cost Average Total Cost (dollars) (dollars) (dollars) $110 $25 $139.00 32 103.30 40 87.50 50 80.00 62 77.00 77 77.00 What is the monopolist's profit at the profit-maximizing level of output? O $0 90 70 50 30 10
The accompanying graph depicts the marginal revenue (MR), demand (D), and marginal cost (MC) curves for a monopoly a. Place point Pi at the profit maximizing price and quantitvy assuming that the monopolist can only charge a single price. 100 95 90 85 80 75 70 65 2 60 b. What are the profits of the firm if it charges a single price? 50 45 Suppose the monopolist able to successfully price discriminate between two groups by charging one group $60 and charging $35 to the other group. c. What are the firm's profits if it charges the two prices as mentioned above? 35 30 25 20 15 10 MR 0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95100 Quantity
Suppose the accompanying table describes the demand for a good produced by monopolist. Price Quantity $ 20 1 19 2 18 3 17 4 16 5 15 6 14 7 13 8 12 9 11 10 10 11 9 12 The monopolist’s total revenue from selling three units is ______, and the monopolist’s marginal revenue from selling the third unit is ______. Multiple Choice $57; $18 $57; $16 $54; $16 $6; $6
Seema can sell 10 sweaters for $70 each, 20 sweaters for $60 each, 30 sweaters for $50 each, 40 sweaters for $40 each, and 50 sweaters for $30 each. Her marginal cost of production is constant at $30 for each additional unit (or sweater) produced. If she behaves like a monopolist, what is the number of sweaters she will sell? a. 20 b. 30 c. 40 d. 50
1