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The following table shows the cost structure of a monopoly firm as well as market demand. Quantity Market Demand Marginal Revenue Marginal Cost Average Total
The following table shows the cost structure of a monopoly firm as well as market demand. Quantity Market Demand Marginal Revenue Marginal Cost Average Total (Q) (D) (MR) (MC) Cost (ATC) 75 300.00 225.00 172.00 428.13 100 275.00 175.00 175.00 400.00 125 250.00 125.00 195.00 378.13 150 225.00 75.00 231.00 362.50 175 200.00 25.00 283.00 353.13 200 175.00 - 25.00 350.00 350.00 225 150.00 - 75.00 433.00 353.13 350 125.00 - 125.00 531.00 362.50 For a monopoly the profit-maximizing output (QM) is found at the intersection of and the profit-maximizing price (PM) is found The monopoly's economic profit/loss is the area of a rectangle with a height of at an output of Q , and a width of
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