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In a purely competitive market, 10,000 pocket transistors can be manufactured and sold and a certain profit can be generated. It is estimated that 2,000

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In a purely competitive market, 10,000 pocket transistors can be manufactured and sold and a certain profit can be generated. It is estimated that 2,000 pocket transistors need to be manufactured and sold in a monopoly market to earn the same profit. Profit under both the conditions is targeted at Rs. 2,00,000. The Variable Cost per transistor is Rs. 100 and the total Fixed Cost is Rs. 37,000. A. You are required to find out the unit Selling Prices, both under monopoly as well as competitive conditions. B. What will be the effect on the profitability on both the markets if there is increase in fixed cost by 20%

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