1.Flores is a firm operating in a monopolistically competitive market. It is currently maximizing profit with an output of 1,200 units and a price of $5. Based on this information, what is happening? [Flores is earning normal profit? earning $3,600 in profit ? would not be able to sell more units by lowering its price? has a marginal revenue less or greater than $5?

2.Venus is a razor firm operating in monopolistic competition is maximizing its profit and earning positive economic profits. Under this means,, its production.... The P = ATC y where marginal revenue equals marginal cost?The P=ATC, and marginal revenue is less than MC? The price is less than ATC at the quantity where MR equals MC? The price is greater than ATC at the quantity where MR is less than MC?? The price is greater than ATC at the quantity where MR is equal to MC??

3.Allocatively efficient quantity of product L for the whole market is 2 million units. At that quantity, the demand for L is at $5 and the ATC for its single supplier is $7. The ATC does not fall to $5 until 3.5 million units. According to this info, the market for product L is.... operating with decreasing returns to scale?a natural monopoly? a legal monopoly? monopolistically competitive???productively efficient?? or what?

4.What would be the main difference between monopolistic competition and an oligopoly market???? Perhaps that... In an oligopoly, the number of firms is so small they strategize their production interdependently? In monopolistic competition, the marginal revenue is beneath the demand curve because of market power.? Oligopolies generally have a lower market concentration and a lower minimum efficient scale?Oligopolies see consistent economies of scale across their entire product demand??

5.Company X rents cars to tourists, they operate as a monopolist. However, in previous years, the company reduced the rental price of the cars so more cars could be rented. Yet, the reduction in price reduced the firm's profits. In the current year, Company X uses perfect price discrimination to charge for each incremental car.... based on this, which of the following is true due to the firm's price discrimination?

Some options that I think could be possible... which one of all of this would be the one describing this situation?

~The average price decreases, which reduces the TR from the first units sold?

~The CS increases, and the firm's surplus decreases.?

~The company's total economic profits decrease as the new price charged impacts all units sold?

~Allocation of resources becomes even more inefficient, creating a greater deadweight loss?

~The demand is equal to MR, which equals MC for the last unit sold?