Bathworks Has Exclusive Rights to Sell Its Perfumes

question 23

Multiple Choice

Bathworks has exclusive rights to sell its perfumes.The demand for its perfumes faced by Bathworks is given by Q = 250 - 0.5P.Bathworks's costs are given by TC = 50Q + 5.5Q².Its maximum monopoly profit is:

• A) $6,750.
• B) $7,050.
• C) $7,500.
• D) $7,750.
• E) $8,750.

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Definitions:

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