Question
Jake's Apple Company is the only local producer of caramel apples in Clemson, making him a monopoly. His inverse demand for caramel apples is (,
Jake's Apple Company is the only local producer of caramel apples in Clemson, making him a monopoly. His inverse demand for caramel apples is (, ) = 32 + where q is the number of apples sold and A is advertising expenditure per day. He has a constant marginal cost of $2 per caramel apple.
A) Set up Jake's profit maximization problem.
B) Find the quantity of apples sold and advertising expenditure that maximize Jake's profit.
C) At these levels of quantity and advertising, how much can Jake sell each apple for?
D) What is Jake's profit per day?
plz answer asap
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