The graph below depicts a monopolistically competitive firm. In the short run, the firm will set price at and produceunits of output: 4. 90 80 MC 2 65 ATC 2 55 52 a 50 HAR 0 10 20 35 45 50 Quantity of Output (Units) a. $55; 45 b. $65; 35 c. $50; 35 d. $52; 50 NAME: 5. The table below represents the demand and cost schedules for a monopolistically competitive firm. Using this data, what output quantity will maximize this firm's profits? Quantity Total Price Demanded Cost Output $20 18 16 14 12 10 $10 20 29 36 40 42 2 3 4 5 6 2 3 4 6 a. 2 units b. 3 units c. 5 units d. 6 units The graph below depicts a firm in a monopolistically competitive industry. Point b indicates: 7. $i 0 Output a. A situation where the firm is earning economic profits b. The price-output combination that yields maximum profits c. A point that cannot be the long-run equilibrium point d. The lowest possible cost of the firm's product 10. The payoff matrix below depicts a "duopoly" (two-firm oligopoly). The numbers in the matrix indicate the profit in thousands of dollars for a high-price or a low-price strategy. If both firms successfully collude to maximize joint profits, the total profit for the two firms combined will be: Firm X High Price Low Price x = $625 | x = $725 >- | .! Y = $625 | Y = $475 il | X = $475 | X = $400 Y = $725 | Y = $400 2 1 a. $1,200,000 b. $1,250,000 c. $1,400,000 d. $1,500,000