What quantity (Q) will the profit - maximizing monopolist below produce, what price (P) will they charge, and how much will their profit or loss be? a.) Q = 8 units P = $5,000 Profit = $40,000 b.) Q = 8 units P = $7,000 Profit = $ 24,000 c.) Q = 8 units P = $4,000 Profit = $32,000 d.) Q = 8 units P = $7,000 Profit = $56,000 Price (in thousands of dollars) y C C $11 S = MC $10 ATC $9 $8 $7 $6 $5 AVC ATC $4 AVC $3 Firm Demand $2 $1 O 2 4 6 8 10 12 14 Quantity of Market = Firm MR Output

What quantity (Q) will the profit - maximizing monopolist below produce, what price (P) will they charge, and how much will their profit or loss be? a.) Q = 8 units P = $5,000 Profit = $40,000 b.) Q = 8 units P = $7,000 Profit = $ 24,000 c.) Q = 8 units P = $4,000 Profit = $32,000 d.) Q = 8 units P = $7,000 Profit = $56,000 Price (in thousands of dollars) y C C $11 S = MC $10 ATC $9 $8 $7 $6 $5 AVC ATC $4 AVC $3 Firm Demand $2 $1 O 2 4 6 8 10 12 14 Quantity of Market = Firm MR Output

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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