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Dayna’s Doorstops, Inc. (DD) is a monopolist in the doorstop industry. Its cost is C =...

Dayna’s Doorstops, Inc. (DD) is a monopolist in the doorstop industry. Its cost is C = 5 + 10Q + Q2, and the demand function is Q = 260 – 2P. Assume that the monopolist is maximizing its profits.

  1. What price should DD set to maximize profit? What output does the firm produce?
  2. How much consumer surplus does DD generate?
  3. How much producer surplus does DD generate?
  4. What is the deadweight loss from monopoly power
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