Suppose a proft-maximizing monopolist is producing 900 units of output and is charging a price of $40.00 per unit. w the elasticity of demand for the product is -3.00, find the marginal cost of the last unit produced. The marginal cont of the last unt produce is $ 26.68. (Enter your mesponse rounded to two decimal places) What is the fim's Lemer Index? The fim's Lemer Index is 036. (Enter your responae rounded to two decimal places) Suppose that the average cost of the last unit produced is $15.00 and the firm's fixed cost is $500. Find the firm's profit The fem's proft is S Enter your response rounded to two decimal places)

Economics For Today
10th Edition
ISBN:9781337613040
Author:Tucker
Publisher:Tucker
Chapter9: Monopoly
Section: Chapter Questions
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Suppose a profit-maximizing monopolist is producing 900 units of autput and is charging a price of $40.00 per unit.
w the elasicty of demand for the product is - 300, fnd the marginal cost of the last unt produced.
The marginai cont of the last unit produce is $ 26.68. (Enter your renponse rounded to two decimal places.)
What is the fimis Lermer index?
The fim's Lemer Index is 9,36 . (Enter your response rounded to two decimal places.)
Suppose that the average cont of the lant unit produced is $15.00 and the firm's fsed cost is $500. Find the firm's profit.
The fem's profit is S Enter your response rounded to two de
cimal places)
Transcribed Image Text:Suppose a profit-maximizing monopolist is producing 900 units of autput and is charging a price of $40.00 per unit. w the elasicty of demand for the product is - 300, fnd the marginal cost of the last unt produced. The marginai cont of the last unit produce is $ 26.68. (Enter your renponse rounded to two decimal places.) What is the fimis Lermer index? The fim's Lemer Index is 9,36 . (Enter your response rounded to two decimal places.) Suppose that the average cont of the lant unit produced is $15.00 and the firm's fsed cost is $500. Find the firm's profit. The fem's profit is S Enter your response rounded to two de cimal places)
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