1. You are a self-employed profit-maximization consultant specializing in monopolies. Five single-price, profit-maximizing monopolies are currently seeking your advice, and although the information they have supplied to you is incomplete, your expert knowledge allows you to go back and make a definite recommendation in each case. Select one of the following recommendations for each firm in the short run:

a. Remain at the current output level.

b. Increase output.

c. Reduce output.

d. Shut down.

e. Go back and recalculate your figures because the ones supplied can’t possibly be right.

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Firm P MR TR A 3.90 3.00 B 5.90 Q TC 2000 7400 10000 MC ATC AVC Your recommendation 2.90 3.24 5.90 4.74 4.24 C 9.00 44000 4000 9.00 11.90 10.74 D 35.90 37.90 5000 37.90 35.90 at min E 35.00 3990 1000 3300 value 23.94