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(1) (2) (3) (4) (5) Quantity Q Market Price Total Revenue $ Marginal Revenue $ Total Cost $ Marginal Cost 0 $22 N/A N/A $1,500

(1) (2) (3) (4) (5)
Quantity Q Market Price Total Revenue $ Marginal Revenue $ Total Cost $ Marginal Cost
0 $22 N/A N/A $1,500 N/A
50 $22 $1100 22 1,600 2
120 $22 $2640 22 2,000 5.7
180 $22 $3960 22 2,600 10
220 $22 $4840 22 3,400 20
250 $22 $5500 22 4,400 33.3

a) What is firm A's best profit maximizing level of output (Q)? Explain __________________(4 points)

b) At what level of output will firm A produce too many units of Q? ______________

Explain your answer.(3 points)

c)Briefly explain why MR and Price come to be the same for firms operating in these markets. (3 points)

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