Hi all, I need some help with these practice problems on Imperfect Competition and I haven't been quite able to understand it as well compared to the others. Thank you in advance!

D D1.(o4.o1r~1c) 5atum Unlimited sells vials of asteroid dust. At Its current production level, Its marginal revenue ls lower than the demand curve. This means that (2 points) 0 the firm Is experiencing economic losses 0 the firm has market power 0 the firm Is not producing at its prot-maximizing quantity 0 an Increase In the m'n's output will Increase Its prots 0 the firm Is productively efcient m D 2.(o4.o1Mc) Koel is the single producer of home air conditioners In Its rural market. The rm's monthly demand is described by the equation P = 5000 5Q, where P Is the price and Q Is the quantity of units said. which of the following must be true of Koel? (2 points) An Increase In pride decreases the quantity sold. 0 It is a natural monopoly. O A decrease In price decreases the quantity sold. 0 Higher levels of output bring in Increasingly lower total revenue If demand is elastic. O Maintaining the current price decreases the quantity sold over time. Price MC AC M N P. AR P. G MR What would be the area of this firm's total revenue? O P3, G, Q2, and 0 P2, N, Q2, 0 O P1, M, Q2, 0 O PI, M, N, P2 O P1, M, G, P35. (04.02 MC) A firm is the only supplier of sprockets. The allocationy efficient output of sprockets is 40 million units. Consumers would pay $6 per sprocket at that price level. The firm is producing 30 million sprockets. Which of the following statements must be true? (2 points) The firm is producing too much output. The firm is charging more than the competitive price. The firm is operating in a monopolistically competitive market. The firm's marginal revenue is higher than its market demand. The firm's average total cost is equal to price at its current output level.3. (04.02 MC) A monopolist is forced to lower its price in order to sell another unit of its product. This describes the problem of (2 points) persistent economic profits market power diseconomies of scale economies of scale diminishing marginal returnsThe graph below represents the demand graph of a monopolist. (2 points) MC $22 $20 $18 $16 $14 $12 Price $10 $6 Demand $4 $2 MR 10 20 30 40 50 60 70 80 90 100 Quantity This firm uses price discrimination to increase its profits. What is the change in the consumer surplus due to the price discrimination? O $30 $90 O -$160 O -$250 $5007. (04.03 HC) If a monopolist begins to engage in perfect price discrimination where previously it charged a single price for all its customers, what would be true of its production figures? (2 points) Firm produces more; producer surplus increases; deadweight loss increases Firm produces less; charges higher price; economic surplus decreases Firm produces more; total economic surplus increases; consumer surplus disappears O Firm loses allocation efficiency; charges lower price; deadweight loss decreases ()Firm reaches allocation efficiency; producer surplus decreases; consumer surplus increasesPrice MC ATC DI MR2 MRI D2 Quantity (units) In monopolistic competition, which of the following conditions (A through D) would cause the shift in demand from D2 to D1? Firms enter the market; competitors increase advertising. Firms enter the market; differentiation in similar products decreases. O Firms exit the market; competitors increase advertising. O Firms exit the market; differentiation in similar products decreases. () Competitors increase advertising; differentiation in similar products decreases.9 (04.04 MC) Which of the following is an accurate description of a monopolistically competitive market? (2 points) O Firms sell identical and interchangeable products. There are zero barriers to entry into or exit from the market. Firms sell similar but differentiated products. Advertising has no impact on the market. Firms can earn positive economic profits in the long run. 10. (04.04 MC) A firm operating in monopolistic competition is maximizing its profit and earning negative economic profits. Which of the following must be true of its production? (2 points) O The price is equal to average total cost at the quantity where marginal revenue equals marginal cost. O The price is less than average total cost at the quantity where marginal revenue equals marginal cost. The price is equal to average total cost, and marginal revenue is less than marginal cost. The price is greater than average total cost at the quantity where marginal revenue is equal to marginal cost. O The price is greater than average total cost at the quantity where marginal revenue is less than marginal cost.11. (04.05 MC) What market structure is characterized by production strategies that take into account other firms' possible production decisions? (2 points) Perfect competition Monopolistic competition Oligopoly Classic monopoly Natural monopoly 12. (04.05 MC) Compared to an oligopoly market without cooperation, one in which the individual firms form a cartel will produce and charge . (2 points) less; less O less; more O more; less O more; more indeterminate13. (04.05 MC) Patricia owns a cleaning business with Sarah. They both have other jobs and are trying to determine the number of hours to work at the cleaning business. The following payoff matrix shows their daily incomes depending on the number of hours they work at the cleaning business. Sarah Full time Part time Patricia Full time $60, $60 $50, $80 Part time $80, $50 $55, $55 If Patricia chooses to work full time and Sarah works part time, what will each earn in daily income? (2 points) Patricia will earn $60; Sarah will earn $60. O Patricia will earn $50; Sarah will earn $80. O Patricia will earn $80; Sarah will earn $50. O Patricia will earn $55; Sarah will earn $55. Indeterminate14. (04.05 HC) Company A and Company B are each telecommunications manufacturers. Both companies manufacture the same products, and they make their decisions based on the other's actions. Both companies are considering opening retail outlets to increase their profits. The payoff matrix shows the profits of the companies in millions of dollars if they choose to open retail outlets. Company B Retail outlets No retail outlets Company A Retail outlets $25, $25 $30, $15 No retail outlets $35, $35 $34, $20 The government imposes a new $5 million tax to open retail outlets. What is the expected outcome of the new payoff matrix, given the tax? (2 points) The Nash equilibrium will be that both companies will not open retail stores. The Nash equilibrium does not change as a result of the tax. Company A's dominant strategy remains the same, and it will open retail stores. O Company B's dominant strategy remains the same, and it will not open retail stores. O Company A's dominant strategy changes, and both companies will open retail stores.15. (04.05 MC) Megan and Martha own competing hair salons that are in the same neighborhood. They are both considering offering their clients discounts in order to increase business. The payoff matrix shows their yearly incomes in thousands of dollars if they offer and do not offer discounts to their customers. Martha Discount No Discount Megan Discount $50, $75 $75, $60 No Discount $35, $90 $70, $85 If Megan discounted and Martha did not discount, what would each earn in yearly income? (2 points) Megan would earn $50,000; Martha would earn $75,000. O Megan would earn $75,000; Martha would earn $60,000. Megan would earn $35,000; Martha would earn $90,000. O Megan would earn $70,000; Martha would earn $85,000. Megan would earn $50,000; Martha would earn $85,000