This problem has been solved! See the answer QUESTION 1 The demand function for a monopoly is: Q = 400 - 4P Its total cost function is: TC = Q^2 + 300Q + 100 a) What is the maximum profit this company can make? What is the quantity that maximizes profit? b) Determine the price for its product at this point   QUESTION 2 A monopolist with TC = 3q^2 +q + 12 faces a demand curve of P = 81 - 2q   1

This problem has been solved!

See the answer

QUESTION 1

The demand function for a monopoly is:

Q = 400 - 4P

Its total cost function is: TC = Q^2 + 300Q + 100

a) What is the maximum profit this company can make? What is the quantity that maximizes profit?

b) Determine the price for its product at this point

QUESTION 2

A monopolist with TC = 3q^2 +q + 12 faces a demand curve of P = 81 - 2q

1. Find the monopoly price and quantity

2. Find CS & Deadweight Loss

3. Find the elasticity of the demand at the monopoly equibilirium