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I just need question A at the bottom answered 2. Assume that the short-run cost and demand data given in the table below confronts a
I just need question A at the bottom answered
2. Assume that the short-run cost and demand data given in the table below confronts a monopolistic competitor selling a given product and engaged in a given amount of product promotion. Compare the marginal cost and marginal revenue of each unit of output and enter these figures in the table.
Output | Total cost | Marginal cost | Quantity demanded |
Price | Marginal revenue |
Profit |
0 | $ 50 | XXXX | 0 | $60 | XXXXX | $ |
1 | 80 | $ 30 | 1 | 55 | 55 | -25 |
2 | 120 | 40 | 2 | 50 | 45 | -20 |
3 | 150 | 30 | 3 | 45 | 35 | -15 |
4 | 170 | 20 | 4 | 40 | 25 | -10 |
5 | 185 | 15 | 5 | 35 | 15 | -10 |
6 | 205 | 20 | 6 | 30 | 5 | -25 |
7 | 235 | 30 | 7 | 25 | -5 | -60 |
8 | 275 | 40 | 8 | 20 | -15 | -115 |
9 | 325 | 50 | 9 | 15 | -25 | -190 |
10 | 385 | 60 | 10 | 10 | -35 | -285 |
(a) At what output level and at what price will the firm produce in the short run? What will be the total profit?
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