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In your city, there are currently three firms providing oil changes. For each firm, there is a fixed cost of $100 per day and a

In your city, there are currently three firms providing oil changes. For each firm, there is a fixed cost of $100 per day and a marginal cost of $14 per oil change. Each firm currently maximizes its profit by providing 20 oil changes per day. 

a. For each firm, marginal revenue equals $__________________. (Enter your response rounded to the nearest dollar.) 

b. This is a long-run. monopolistically competitive equilibrium if (1) ________________equals $ _________________. (Enter your response rounded to the nearest penny.) 

(1) 

  • marginal revenue 
  • price 
  • marginal cost

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