The manager of a monopoly firm obtained the following estimate of the demand function for its output:

Q = 2,600 - 100P + 0.2M - 500P_R

From an econometric forecasting firm, the manager obtained forecasts for the 2020 values of M and P_R as, respectively, $20,000 and $2. For 2020:

A.What is the forecasted demand function?

B.What is the inverse demand function?

C.What is the marginal revenue function?

D. And further, the manager estimated the average variable cost function as

AVC = 20 - 0.07Q + 0.0001Q²

Where AVC was measured in dollars per unit and Q is the number of units sold ,What is the estimated marginal cost function?

E.What is the optimal level of production in 2020?

F. What is the optimal price in 2020?