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Consider a monopoly which faces the demand curve P= 55-2Q and having a marginal cost function MC= 2Q-5. a) (2pts) Calculate the marginal revenue (MR)

Consider a monopoly which faces the demand curve P= 55-2Q and having a marginal cost function MC= 2Q-5.

a) (2pts) Calculate the marginal revenue (MR) function.

b) (2 pts) State the profit maximizing output rule for the monopoly in the short-run.

c) (4 pts) What is the profit maximing output level? Next, calculate the price.

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