Suppose a Firm Faces the Demand Function Q = 800

question 91

Multiple Choice

Suppose a firm faces the demand function q = 800 - 4P. The firm's total production costs are given by MC(q) = 9.5q + q². If the firm can perfectly price discriminate, its profit-maximizing output is ____.

• A) 20
• B) 17.52
• C) 12.51
• D) 10.08

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