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Refer to Table 15-6. Suppose the monopolist has total fixed costs equal to $5 and a variable cost equal to $4 per unit for all
Refer to Table 15-6. Suppose the monopolist has total fixed costs equal to $5 and a variable cost equal to $4 per unit for all units produced. What is the total profit if she operates at her profit-maximizing price?
| a. | $11 |
| b. | $9 |
| c. | $1 |
| d. | $7 |
Table 15-6
A monopolist faces the following demand curve:
Quantity | Price |
1 | $15 |
2 | $12 |
3 | $9 |
4 | $6 |
5 | $3 |
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