1 A monopoly sells its output in two separable markets with the demand schedules p 1 20 q 1 6 P 2 13 75 q 2 8 If it faces the total cost schedule TC 74 2 26q 0 01q 2 where q q 1 q 2 , what is the maximum profit it can make 2 A multiplant monopoly operates two plants whose cost schedules are TC 1 2 ...

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1. A monopoly sells its output in two separable markets with the demand schedules p 1 =20...

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1. A monopoly sells its output in two separable markets with the demand schedules

p₁=20 -q₁/6.P₂=13.75 -q₂/8

If it faces the total cost schedule TC = 74 + 2.26q + 0.01q²where q = q₁+ q₂, what is the maximum profit it can make?

2. A multiplant monopoly operates two plants whose cost schedules are

TC₁=2.4+0.01q₁^2 TC₂=3.5+0.012q₂^2

and sells its total output in a market where p = 32 0.02q.

How much should it produce in each plant to maximize total profits?

Posted Date: Jun 23, 2024 09:01 AM

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1. A monopoly sells its output in two separable markets with the demand schedules p 1 =20...

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