Problem: Suppose an oligopolistic firm has the following cost and revenue data.
MR Q P TR TVC AVC AFC SMC
0 120 0 0 --- ---
10 115 1150 600 60
20 110 2200 40
30 105 3150 900
40 100 4000 1120
50 95 4750 30
60 90 5400 40
70 85 5950 50 8.57
80 80 6400 4800 7.50
90 75 6750 7200 6.67
1. Fill in the blank spaces in the table.
2. What output should the firm produce? Why?
3. What price should the firm charge, and what will be its economic profit?