Bolan's Fabric Shop Sells Discount Material

question 43

Multiple Choice

Bolan's Fabric Shop sells discount material.Its demand and cost functions are Q_D = 40 - 2P and TC = 0.5Q².Its profit-maximizing price is:

• A) P = $5.
• B) P = $10.
• C) P = $15.
• D) P = $20.
• E) P = $0.

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