Typed plzzzz And Asap Suppose Jerry is one of many used-car salesmen in a city. Assume the market for used cars is monopolisticallycompetitive. The demand for Jerry's cars per week along with his corresponding revenue is shown in the table below.Marginal RevenueCars Sold1234567Price$20,000$18,000$16,000$14,000$12,000$10,000$8,000Total Revenue$20,000$36,000$48,000$56,000$60,000$60,000$56,000$20,000$16,000$12,000$8,000$4,000$0- $4,0007If Jerry's marginal cost of purchasing a used car from a wholesale distributor is $14,000, how many used cars shouldJerry sell to maximize his profits and what price should he charge?To maximize profits, Jerry should sell used cars at a price of $. (Enter your responses as integer values.)

A firm produces till MR > MC or MR = MC to maximize the profit. Where MR is marginal revenue,…

Answered: Suppose Jerry is one of many used-car…

Microeconomics: Principles & Policy

14th Edition

ISBN:9781337794992

Author:William J. Baumol, Alan S. Blinder, John L. Solow

Publisher:William J. Baumol, Alan S. Blinder, John L. Solow

Chapter13: Between Competition And Monopoly

Section: Chapter Questions

Problem 5DQ

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