Suppose the demand curve for a monopoly firm’s product is given by P = 120 – 2Q. Marginal cost of production is given by MC = 8Q. Find the profit maximizing output.
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- Suppose the demand curve for a monopoly firm’s product is given by P = 120 – 2Q. Marginal cost of production is given by MC = 10Q. Find the profit maximizing price.The inverse demand curve a monopoly faces is p=120-2Q. The firm's cost curve is C(Q) = 40 +6Q. What is the profit-maximizing solution? The profit-maximizing quantity is 28.50. (Round your answer to two decimal places.) The profit-maximizing price is $63.00. (round your answer to two decimal places.) What is the firm's economic profit? The firm earns a profit of $ 1584.50. (round your answer to two decimal places.) How does your answer change if C(Q)= 100+6Q? The increase in fixed cost OA. has no effect on the equilibrium quantity, but the equilibrium price increases and profit decreases. B. causes the firm to increase both the price and quantity, and profit increases. OC. has no effect on the equilibrium quantity, but the equilibrium price increases and profit increases. D. has no effect on the equilibrium price and quantity, but profit will decrease.A monopoly has an inverse demand function of P = 300 – Q and a marginal cost function of MC = Q. Calculate the quantity Q and price P that will maximize profits. Also calculate profits.
- Suppose a monopoly firm in the short run experiences an increase in the price of oil, a variable cost. Using a clearly labeled figure, show the effect of this increase on the price, quantity and profits of the firm.Suppose a monopoly firm has the following Cost and Demand functions: TC=Q2 P=80-Q MC=2Q MR=80-2Q Carefully explain what the firm is doing and why. Find the firm’s Profit maximizing Q Find the firm’s Profit maximizing P. Find the firm’s Profit. Suppose because of an advertising campaign, which costs $500, the monopoly’s demand curve is: P=100-Q so its MR= 100-2Q. MC=2Q Looking closely at the TC function and the demand curve, explain the effects of the advertising campaign on the equations compared with the equations above in part 1. Find the firm’s Profit maximizing Q Find the firm’s Profit maximizing P. Find the firm’s Profit. Was the advertising campaign successful? Compare 2 w/ 1. Why?Suppose demand for a monopoly’s product falls so that its profit-maximizing price is below average variable cost. How much output should the firm supply?
- If the inverse demand curve a monopoly faces is p= 100 -0.5 what is the firm's marginal revenue curve? Marginal revenue (MR) is MR =. (Properly format your expression using the tools in the palette. Hover over tools to see keyboard shortcuts. E.g., a superscript can be created with the A character.) tv MacBook Air 80 DII F6 F2 F3 F4 F5 FB F9 F10 %23 24 & 3 4 6 7 8 { [ W E R Y P F G J K L > с M nd command option - - .. .- BThe inverse demand curve a monopoly faces is p = 130 - Q. The firm's cost curve is C(Q) = 10 +5Q. What is the profit-maximizing solution? The profit-maximizing quantity is 62.5. (Round your answer to two decimal places.) The profit-maximizing price is $ 67.5. (round your answer to two decimal places.) What is the firm's economic profit? The firm earns a profit of $. (round your answer to two decimal places.)The inverse demand curve a monopoly faces is p= 110 -Q. The firm's cost curve is C(Q) = 30 + 5Q. What is the profit-maximizing solution? The profit-maximizing quantity is 52.50. (Round your answer to two decimal places.) The profit-maximizing price is $ 57.50 . (round your answer to two decimal places.) What is the firm's economic profit? The firm earns a profit of $. (round your answer to two decimal places.) 13 MacBook esc 80 F1 F2 F3 F4 F5 F6 # $ % 1 3 4 Q W R tab T A caps lock F
- imagine you are the manager of a monopoly that faces a demand curve described by P= 200-3Q. your total costs are TC= 130+50Q+2Q^2 so that the marginal cost is MC= 50+4Q. Determine the maximum profits for the firmYou are the manager of a monopoly that faces an inverse demand curve described by P = 200 − 15Q. Your costs are C = 15 + 20Q. The profit-maximizing price isA monopoly produces widgets at a marginal cost of $10 per unit and zero fixed costs. It faces an inverse demand function given by P = 50 - Q. What is the profit under monopoly?
