Exhibit 9-5 Demand and Cost Data for a Monopolist -Refer to Exhibit 9-5

question 30

Multiple Choice

Exhibit 9-5 Demand and cost data for a monopolist $\begin{array}{|c|c|c|c|c|c|}\hline \text { Price } & \text { Quantity } & \text { TR } & \text { MR } & \text { TC } & \text { Profit } \\\hline \$ 10 & 1 & 10 & 10 & 4 & \\9 & 2 & & & 8 & \\8 & 3 & & & 12& \\7 & 4 & & & 16& \\6 & 5 & & &20 \\5 & 6 & & & 24& \\4 & 7 & & & 28 & \\3 & 8 & & & 32& \\2 & 9 & & & 36 & \\1 & 10 & & &40 & \\\hline\end{array}$
-Refer to Exhibit 9-5. The demand schedule and cost schedule for a monopolist are provided. Which output level maximizes profit?

• A) 2.
• B) 6.
• C) 4.
• D) 5.
• E) 7.

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Definitions:

Sudden Death

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