A publisher has just finished publishing a new book. The company's marketing departmentestimates that the demand for the book is given by P=100- 0.0001Q (where: P and Q are the price and quantity respectively).Assume that the company can produce the book at a fixed cost of zero and the marginal cost(equal to the average total cost) is constant at $10.
a. Write down the equation for the marginal revenue
b. How many copies of the book would maximize the company's profits?
c. What would the profit-maximizing price be?
d. How much profit would the company make?