A Monopolist Faces the Inverse Demand Curve P = 60

question 65

Multiple Choice

A monopolist faces the inverse demand curve P = 60 - Q.It has variable costs of Q² so that its marginal costs are 2Q,and it has fixed costs of 30.The monopoly's profit-maximizing output is

• A) 5.
• B) 10.
• C) 15.
• D) 20.