Monopolist profit-maximizing quantity-price
A monopolist has a constant marginal and average cost of $10 adn faces a demand curve of Qd = 1000 - 10P. Marginal revenue is given by MR=100 - 1/5Q.
a. Calculate the monopolist's profit-maximizing quantity, price, and profit.
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A monopolist has a constant marginal and average cost of $10 adn faces a demand curve of Qd = 1000 - 10P. Marginal revenue is given by MR=100 - 1/5Q. Calculate the monopolist's profit-maximizing quantity, price, and profit.
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