Cindy's demand function for her legal services is given by the equation Q = 5000 20P, where Q represents the number of 1-hour sessions per year and P represents the price of each session. Her marginal revenue function is MR = 250 - 0.01Q. Cindys operation has no fixed costs, but she incurs a cost of $500 per session ( going to the clients house). What is Cindys yearly profit?

Cindy's demand function for her legal services is given by the equation Q = 5000 20P, where Q represents the number of 1-hour sessions per year and P represents the price of each session. Her marginal revenue function is MR = 250 - 0.01Q. Cindys operation has no fixed costs, but she incurs a cost of $500 per session ( going to the clients house). What is Cindys yearly profit?

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter9: Monopoly

Section: Chapter Questions

Problem 3SQP

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