1The graph below shows the demand and marginal cost curves for the monopolist Mr. Peanut.a. Draw the marginal revenue curve. Plot only the endpoints of the graph below.Costs and revenues555045403530252015105010 20 30 40 50 60 70 80 90 100110Quantity per periodDMCToolsmarginal reverReset Costs and revenu3530252015105010 20 30 40 50 60 70 80 90 100 110Quantity per periodb. What are the values of the profit-maximizing output and price?Output: 45Price: $ 27.5c. What are the values of output, price and total revenue when the firm's total revenue is maximized?Output:Price: $Total revenue: $

A profit-maximizing firm produces at the intersection of MR and MC to maximize profit. Total revenue…

The graph below shows the demand and marginal cost curves for the monopolist Mr. Peanut. a. Draw the marginal revenue curve. Plot only the endpoints of the graph below. Costs and revenues 55 50 45 40 35 30 25 20 15 10 5 0 10 20 30 40 50 60 70 80 90 100110 Quantity per períod MC Tools 1 marginal rever Reset