A monopolistically competitive firm has the following demand and total cost curves: Demand: P = 9-0.25Q; TC = 124-16Q+Q^2.
How to find the price and quantity that maximizes profits for the monopolistically competitive firm to find how much profits does the monopolistically competitive firm make at the profit-maximizing level of quantity and explain the following what adjustments do you expect to happen in the market in the long-run and will the demand curve of the firm increase or decrease)and how much profits do you expect the firm to earn in the long run?