Market demand for laptop computers is y 500 - 2p but the


Market demand for laptop computers is y = 500 - 2p. But the computers are developed by a hardware firm with a cost function c(y) = 10y + 100, & the operating system is developed by a software firm with a cost function of c(y) = 150

1: Calculate the optimal prices for the hardware & software firm to charge, & the total market quantity

2: Calculate the optimal price & quantity if it were to behave like a merged firm.

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Business Economics: Market demand for laptop computers is y 500 - 2p but the
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