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a. What is the profit-maximizing price and quantity for this firm? b. What is the price and quantity combination that creates the greatest economic welfare

a. What is the profit-maximizing price and quantity for this firm?

b. What is the price and quantity combination that creates the greatest economic welfare for society? At this price and quantity, is the firm making a profit or a loss?

c. What will the firm do if it is incurring a loss? What is the lowest price the government could force the firm to charge?

Price $110 $100 $68 $63 $35 100 MR 200 250 D ATC MC Quantity

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