Suppose the monopolist able to successfully price discriminate between two groups by charging one group 60 and charging $35 to the other group. 24 c. What are the firm's profits if it charges the two prices as mentioned above?

Suppose the monopolist able to successfully price discriminate between two groups by charging one group 60 and charging $35 to the other group. 24 c. What are the firm's profits if it charges the two prices as mentioned above?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

c. What are the firm's profits if it charges the two prices as mentioned above?

60
55
b. What are the profits of the firm if it charges a single
50
45
price?
40
35
30
25
MC
20
$
1225
15
10
MR
D
Suppose the monopolist able to successfully price
discriminate between two groups by charging one group
0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95100
Quantity
$
60 and charging $35 to the other group.
c. What are the firm's profits if it charges the two prices as
mentioned above?
1425
Incorrect
Price and Costs($)

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