A company produces a special new type of TV The company has co able to sell 800 TVs. If the company wants to sell 850 TVs, however, it must lower the price to $1000. Assume a linear demand. What price should the company charge to earn a profit of $883,0007 It would need to charge 5 (Round answer to nearest dollar. If more than one answer, separate with a comma)

Microeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506893
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter11: Price-searcher Markets With High Entry Barriers
Section: Chapter Questions
Problem 14CQ
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A company produces a special new type of TV The company has fixed costs of 5497,000, and it costs $1100 to produce each TV The company projects that if it charges a price of $2200 for the TV, it will be
able to sell 800 TVs. If the company wants to sell 850 TVs, however, it must
lower the price to $1900. Assume a linear demand.
What price should the company charge to earn a profit of $883,0007
It would need to charge $
(Round answer to nearest dollar. If more than one answer, separate with a comma)
Transcribed Image Text:A company produces a special new type of TV The company has fixed costs of 5497,000, and it costs $1100 to produce each TV The company projects that if it charges a price of $2200 for the TV, it will be able to sell 800 TVs. If the company wants to sell 850 TVs, however, it must lower the price to $1900. Assume a linear demand. What price should the company charge to earn a profit of $883,0007 It would need to charge $ (Round answer to nearest dollar. If more than one answer, separate with a comma)
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