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4. Clean Master is a company that faces the following demand curves for its carpet cleaning machines: From 0 to 25(000) units of output: For
4. Clean Master is a company that faces the following demand curves for its carpet cleaning machines: From 0 to 25(000) units of output: For output larger than 25(000) units: P1 = 6-0.04 Q P2 = 8-0.12Q Clean Master has the following total cost function: TC = 2.50 + 1.50 Q + 0.02 Q2 In these equations, P is price in TL, Q is output in thousands of units, and TC is total cost is thousands of TL. a. If Clean Master operates in an oligopoly environment and faces a kinked demand curve, then calculate the current price, output, and profits for the firm. b. Determine whether the current price and quantity levels are profit-maximizing
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