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A bar, in a monopoly position due to its location on the edge of a beach, makes a total weekly revenue of 8,000 and sells
A bar, in a monopoly position due to its location on the edge of a beach, makes a total weekly revenue of 8,000 and sells 4,000 bottles of water each week. Its average cost, which amounts to 1.80, is 0.20 lower than its marginal cost. What decision should the company make?
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