Calculate the marginal revenue he gets for each additional sale as the change in total revenue (price times sales). Graph this and show the new (monopoly) quantity of sales and the new price.

a. Calculate the consumer and producer surplus for perfect competition and for monopoly. Identify the area of consumer and producer surplus on your graphs of perfect competition and monopoly. Which situation is better for consumers? Which is better for the business? Which is better for society?
b. Helen's landlady raises her rent to $500. What happens to prices and quantities under perfect competition? What happens to prices and quantities under monopoly?

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Marginal Total Cheesecake Value=P dd TR MR 30 100 30 2 27 200 54 24 18.9 24.3 300 72.9 4 21.87 400 87.48 14.58 10.92 19.68 500 98.4 17.71 106.26 6. 600 7.86 15.94 700 111.58 5.32 14.35 800 114.8 3.22 3. 35 30 25 price 15 DD curve 10 HMR 10 Total DD 20