Question

a) A monopoly faces a demand curve given by P = 2,500 - 0.5Q and has...

a) A monopoly faces a demand curve given by P = 2,500 - 0.5Q and has marginal cost constant at $900. What is the profit-maximizing output level?

b) A monopoly faces a demand curve given by P = 2,500 - 0.5Q and has marginal cost constant at $1,000. What is the profit-maximizing price?

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
a) A monopoly faces a demand curve given by P = 2,500 - 0.5Q and has...
a) A monopoly faces a demand curve given by P = 2,500 - 0.5Q and has marginal cost constant at $200. What is the profit-maximizing output level? b) A monopoly faces a demand curve given by P = 2,500 - 0.5Q and has marginal cost constant at $100. What is the profit-maximizing price?
A monopoly that faces a demand curve given by Q = 1-P and has a constant...
A monopoly that faces a demand curve given by Q = 1-P and has a constant marginal cost as 0.2. 1. In this situation, the deadweight loss from monopoly is: a. 0.12. b. 0.08. c. 0.40. d. 0.16. 2. In this situation the monopoly's profit maximizing output level is: a. 0.7. b. 0.2. c. 0.4. d. 0.5.
An oligopoly firm faces a kinked demand curve. One segment is given by the equation P...
An oligopoly firm faces a kinked demand curve. One segment is given by the equation P = 100 – Q, and the other segment is given by P = 120 – 2Q. The firm has a constant marginal cost of $45. a) What is the firm’s profit-maximizing level of output and price? b) What are the upper and lower limits which marginal cost may vary without affecting either the profit-maximizing output or price?
1) The inverse demand curve a monopoly faces is p=110−2Q. The​ firm's cost curve is C(Q)=30+6Q....
1) The inverse demand curve a monopoly faces is p=110−2Q. The​ firm's cost curve is C(Q)=30+6Q. What is the​ profit-maximizing solution? 2) The inverse demand curve a monopoly faces is p=10Q-1/2 The​ firm's cost curve is C(Q)=5Q. What is the​ profit-maximizing solution? 3) Suppose that the inverse demand function for a​ monopolist's product is p = 7 - Q/20 Its cost function is C = 8 + 14Q - 4Q2 + 2Q3/3 Marginal revenue equals marginal cost when output equals...
The inverse market demand curve facing a monopoly retailer of gold jewelry is described by P=3000-0.5Q....
The inverse market demand curve facing a monopoly retailer of gold jewelry is described by P=3000-0.5Q. The retailer buys jewelry at a wholesale price, r, set by the monopolist manufacturer. Marginal cost for the manufacturer is 500. The retailer has additional marginal costs=100. What is the profit-maximizing wholesale price for the manufacturer? What is the profit-maximizing retail price for the retailer? What is the profit-maximizing quantity? If the two firms merged, what would be the profit-maximizing retail price and quantity?
A monopoly has an inverse demand curve given by: p=28-Q And a constant marginal cost of...
A monopoly has an inverse demand curve given by: p=28-Q And a constant marginal cost of $4. Calculate deadweight loss if the monopoly charges the profit-maximizing price. Round the number to two decimal places.
A monopolist has a cost function given by C(Q)=Q2 and faces the demand curve p=120-q a....
A monopolist has a cost function given by C(Q)=Q2 and faces the demand curve p=120-q a. what is the profit maximizing monopolist output and price b. what is the consumer surplus ? Monopoly profit? c. now suppose the monopolist has to follow the narginal cost pricing policy in other word she has to charge competitive prices what is her output and price?
Suppose a monopolist faces the following demand curve: P = 750 – Q.If the long run...
Suppose a monopolist faces the following demand curve: P = 750 – Q.If the long run marginal cost of production is constant and equal to $30. a) What is the monopolist’s profit maximizing level of output? b) What price will the profit maximizing monopolist charge? c) How much profit will the monopolist make if she maximizes her profit? d) What would be the value of consumer surplus if the market were perfectly competitive? e) What is the value of the...
a monopoly firm's demand curve is given by p=700-3q the firms current price is 400 suppose...
a monopoly firm's demand curve is given by p=700-3q the firms current price is 400 suppose the price elasticy of demand is -1.5. (a)calculate the firms marginal revenue at the current price using the expression for marginal revenue that utilizes the price elasticity of demand (b) the firm sells 100 units of output a week if the marginal cost is zero, is this firm profit maximizing? what should be this firms profit maximizing output and price?
A monopoly faces the following inverse demand function: p(q)=100-2q, the marginal cost is $10 per unit....
A monopoly faces the following inverse demand function: p(q)=100-2q, the marginal cost is $10 per unit. What is the profit maximizing level of output, q* What is the profit maximizing price what is the socially optimal price What is the socially optimal level of output? What is the deadweight loss due to monopoly's profit maximizing price?
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT