Question

1. Suppose a monopolist faces the demand for its good or service
equal to Q = 130 - P. The firm's total cost TC = Q^{2} +
10Q + 100 and its marginal cost MC = 2Q + 10. The firm's profit
maximizing output is

2. Suppose a monopolist faces the demand for its good or service
equal to Q = 130 - P. The firm's total cost TC = Q^{2} +
10Q + 100 and its marginal cost MC = 2Q + 10. The firm's profit
maximizing price is

3. Suppose a monopolist faces the demand for its good or service
equal to Q = 130 - P. The firm's total cost TC = Q^{2} +
10Q + 100 and its marginal cost MC = 2Q + 10. The firm's profit
is

4. Suppose a monopolist faces the demand for its good or service
equal to Q = 130 - P. The firm's total cost TC = Q^{2} +
10Q + 100 and its marginal cost MC = 2Q + 10. If this market were
perfectly competitive, the market output is

5. Suppose a monopolist faces the demand for its good or service
equal to Q = 130 - P. The firm's total cost TC = Q^{2} +
10Q + 100 and its marginal cost MC = 2Q + 10. If this market were
perfectly competitive, the market price is

Answer #1

A monopolist faces the following demand curve, marginal
revenue curve, total cost curve and marginal cost curve for its
product: Q = 200 - 2P
MR = 100 - Q
TC = 5Q MC = 5
a. What is the profit maximizing level of output?
b. What is the profit maximizing price? c. How much profit
does the monopolist earn?

1. Consider a monopolist where the market demand curve
for the produce is given by P = 520 - 2Q. This monopolist has
marginal costs that can be expressed as MC = 100 + 2Q and total
costs that can be expressed as TC = 100Q + Q2 + 50. (Does not need
to be done. Only here for reference)
2. Suppose this monopolist from Problem #1 is regulated
(i.e. forced to behave like a perfect competition firm) and the...

A monopolist faces a demand curve given by P=40-Q, while its
marginal cost is given by MC=4+Q. Its profit maximizing output
is
a. 8 b. 9
c. 10 d.
11 e. 12
why is the answer (e)?

Consider a pure monopolist who faces demand Q= 205 - 2P and has
a cost function C(Q) = 2Q.
Solve for the information below, assuming that the monopolist is
maximizing profits.
The monopolist is able to produce at a constant marginal cost of
_________
The monopolist's profit-maximizing level of output is Q* =
______
The monopolist's profit-maximizing price is P* = _________

Suppose a monopolist has TC = 100 + 10Q + 2Q2, and the demand
curve it faces is p = 90 - 2Q. What will be the price, quantity,
and profit for this firm?

Example 1:
Suppose a monopolist faces an inverse demand function as p = 94
– 2q. The firm’s total cost function is 1.5q2 + 45q +
100. The firm’s marginal revenue and cost functions are MR(q) = 90
– 4q and MC(q) = 3q + 45.
How many widgets must the firm sell so as to maximize its
profits?
At what price should the firm sell so as to maximize its
profits?
What will be the firm’s total profits?

Part A
A demand curve is P = 10- Q. So its MR is
A)5-2Q
B)10- 4Q
C)10 - Q
D)10 -2Q
Part B
A non- competitive firm's demand curve is P = 10- 2Q. So its MR
is
A)5-2Q
B)10- 4Q
C)10 - Q
D)5 - Q
Part C
"If a firm with pricing power in the market faces a demand curve
of P = 1800-2Q and marginal costs of MC = 200, how much is the
equilibrium (profit...

Use the following information to answer questions #1 – 3: A
monopolist has the following demand curve: P = 100 – Q and total
cost curve: TC = 16 + Q2 and marginal cost curve: MC = 2Q.
1. Find the profit maximizing quantity. a. Q = 20 b. Q = 33.33
c. Q = 25 d. Q = 4 e. Q = 30
2. Find the profit maximizing price. a. $96 b. $80 c. $75 d.
$66.67 e. $70...

Consider a monopolist facing a market demand given by:
P = 100 – 2Q
Where P is the price and Q is quantity. The monopolist produces
the good according to the cost function c(Q) = Q2 +
10.
Determine the profit-maximizing quantity and price the
monopolist will offer in the market
Calculate the profits for the monopolist
Calculate the deadweight loss due to a monopoly. Illustrate
this in a well labeled diagram.

A patent monopolist faces a demand curve: P=10-1/3 Q and total
cost F+2Q+2/3 Q^2, where F is non-negative.
i. What is the monopolist’s short-run profit-maximizing output
and price? What is his short-run profit per period?
ii. In addition to solving for the profit-maximizing output and
price, draw a graph showing the inear demand curve, the marginal
revenue and marginal cost curves that demonstrate the situation
described above

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