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a monopolist has a fixed cost of $5000 in rent, and a variable cost of2Q. Q is the number of goods sold. The firm faces

a monopolist has a fixed cost of $5000 in rent, and a variable cost of2Q.

Q is the number of goods sold. The firm faces a market demand curve of P=200-Q.

  1. What is the firms profits maximizing equilibrium?
  2. How much profits isthe firm making?
  3. Should it stay open or shut down?

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