Q1. A monopoly firm is currently earning positive economic profit. The owner of the firm makes a decision to wholesale it. He asks for a price that takes into economic profit of account. Explain and diagrammatically show what this does to the average total cost (ATC) curve of the firm.
Q2. Briefly explain the meaning of f test why do you think this test is considered to be more important in multiple regression analysis than it is in simple regression analysis.