Consider a monopoly with the following cost curve:C(q) = 20 + 2q^2 and the following demand function:P(Q) = 96 - 2Q.

Question 1

What is the profit-maximizing solution for the monopoly?

A. Q = 3

B. Q = 12

C. Q = 2

D. Q = 4

E. Q = 1

F. Q = 6

G. Q = 16

H. Q = 24

Question 2

What would be the profit-maximizing solution under perfect competition?

Q = 4

Q = 3

Q = 6

Q = 24

Q = 1

Q = 2

Q = 16

Q = 12

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Question 3

1pts

What is the dead weight loss (DWL) caused by the monopoly?

A. DWL = 48

B. DWL = 72

C. DWL = 96

D. DWL = 2

E. DWL = 24

F. DWL = 4

G. DWL = 12

H. DWL = 6