A monopolist faces the following demand and cost schedules Quantity Price Total
ID: 1200866 • Letter: A
Question
A monopolist faces the following demand and cost schedules
Quantity
Price
Total Revenue
Marginal Revenue
Total Cost
Marginal Cost
7
$20
$36
8
19
45
9
18
54
10
17
63
11
16
72
12
15
81
1. Complete the blanks in the table above
2. How much output should the monopolist produce?
3. What price should the firm charge?
4. What is the maximum amount of profit that the firm can earn?
Quantity
Price
Total Revenue
Marginal Revenue
Total Cost
Marginal Cost
7
$20
$36
8
19
45
9
18
54
10
17
63
11
16
72
12
15
81
Explanation / Answer
1.
Quantity
Price
Total Revenue($)
Marginal Revenue($)
Total Cost($)
Marginal Cost($)
7
$20
140
-
$36
-
8
19
152
12
45
9
9
18
162
10
54
9
10
17
170
8
63
9
11
16
176
6
72
9
12
15
180
4
81
9
1. 9 units
2. $18
3. $108
Quantity
Price
Total Revenue($)
Marginal Revenue($)
Total Cost($)
Marginal Cost($)
Profit($)7
$20
140
-
$36
-
1048
19
152
12
45
9
1079
18
162
10
54
9
10810
17
170
8
63
9
10711
16
176
6
72
9
10412
15
180
4
81
9
99Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.