Question
3. You are the manager of a firm that produces output in two plants. The demand for your firm's product is P = 20 Q,
3. You are the manager of a firm that produces output in two plants. The demand for your firm's product is P = 20 Q, where Q = Q1 + Q2. The marginal costs associated with producing in the two plants are MC1 = 2 and MC2 = 2Q2. What is the profit-maximizing price that the firm should charge?
A. $8 B. $9 C. $11 D. $12
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Understanding Business
Authors: William NickelsJames McHughSusan McHugh
12th Edition
1259929434, 9781259929434
