Tad's bait shop has a monopoly on the bait market at Sanderson's Lake. The demand curve for bait is QD = 36 - 6P. Tad has two employees he can use to search for bait. The marginal cost of using Amanda to search for bait is: MCM (QM) = 0.5??. The marginal cost of using Andrew to search for bait is: MCN(QN) =QN a. Determine how many units of bait each employee should gather. b. Which employee gathers more and why? c. What is the price Tad receives for selling the bait?

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Tad's bait shop has a monopoly on the bait market at Sanderson's Lake. The demand curve
for bait is QD = 36 - 6P. Tad has two employees he can use to search for bait. The marginal
cost of using Amanda to search for bait is: MCM (QM) = 0.5??. The marginal cost of using
Andrew to search for bait is: MCN(QN) =QN
a. Determine how many units of bait each employee should gather.
b. Which employee gathers more and why?
c. What is the price Tad receives for selling the bait?

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