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12.9 The table shows case-mix-adjusted price and volume data for Dunes Hospital. Calculate its marginal cost, marginal revenue, and profits at each level of output.

12.9 The table shows case-mix-adjusted price and volume data for Dunes Hospital. Calculate its marginal cost, marginal revenue, and profits at each level of output. What price should it choose?

Admissions

6,552

9,048

9,672

9,948

10,296

Revenue

$52,416,000

$70,574,400

$73,507,200

$73,881,600

$74,131,200

Cost

$42,588,000

$59,264,400

$63,835,200

$66,393,600

$68,983,200

Price

$8,000

$7,800

$7,600

$7,400

$7,200

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