FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

...
1 Approved Answer

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?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Financial Accounting

Advanced Financial Accounting

Authors: Thomas H. Beechy, V. Umashanker Trivedi, Kenneth E. MacAulay

7th edition

978-0132928939

Students also viewed these Economics questions

Question

For the situations described find the appropriate rejection regions and state your conclusion if the observed test statistic was z522.41. If appropriate, provide a measure of reliability for your...

Answered: 1 week ago

Question

★★★★★
Digital Access Inc. needs $400,000 in funds for a project. a. With a compensating balance requirement of 20 percent, how much will the firm need to borrow? b. Given your answer to part a and a stated...

Answered: 1 week ago

Question

★★★★★
capital budgeting Question 2 Etion Limited is planning to acquire new plant and machinery for its manufacturing plant. The (20 Mark company is considering the following two alternatives: Option 1...

Answered: 1 week ago

Question

★★★★★
1- Equity was based on religious concepts then current in medieval England . With that background, how well does Equity serve the needs of Australia in the third decade of the 21 st Century? Refer to...

Answered: 1 week ago

Question

★★★★★
Identify which IT Application Controls would best mitigate the threats outlined. Expand upon your answer to analyze the relationship among risk/opportunity/control. Also consider how these scenarios...

Answered: 1 week ago

Question

★★★★★
QUESTION 5 10 points Save Answer It is believed that the weight of the crystal (Y) (in grams) is linearly related to the hours (X) it is allowed to form. A sample of 14 crystals is taken with the...

Answered: 1 week ago

Question

★★★★★
Question 2 Assuming you are the project procurement manager for Mainstream Renewable Power, write a letter to the Department of Minerals and Energy (the client and initiator of the projects)...

Answered: 1 week ago

Question

★★★★★
Find f?(x) for the following and factor the answer completely, if possible: 3. f(x) = (1 x) In (sin 3x) 3) 4. f(x)= = 3x+1 (2x-1)5 4) 2

Answered: 1 week ago

Question

★★★★★
(a) A machine is set up such that the average content of juice per bottle equals . A sample of 100 bottles yields an average content of 270ml. Assume that the population standard deviation 45ml. Find...

Answered: 1 week ago

Question

★★★★★
Calculated and so for the following set of paired data. Calculate each paired difference by subtracting the values in Group A from the corresponding values in Group B. Round your answer to three...

Answered: 1 week ago

Previous Question Next Question