Suppose a pure monopolist is faced with the demand schedule shown in table 1, and the cost data as s
Question: Suppose a pure monopolist is faced with the demand schedule shown in table 1, and the cost data as shown in table 2. Calculate the missing total-revenue and marginal-revenue amounts, and determine the profit maximizing price and profit-earning output for this monopolist. What is the monopolist's profit? Verify your answer graphically and by comparing total revenue and total cost.
Price | Quantity |
115 | 0 |
100 | 1 |
83 | 2 |
71 | 3 |
63 | 4 |
55 | 5 |
48 | 6 |
42 | 7 |
37 | 8 |
33 | 9 |
29 | 10 |
Price: $2.99
Solution: The solution consists of 2 pages
Deliverable: Word Document
Deliverable: Word Document
