A Monopoly Producing X at a Marginal Cost of $80

question 14

Multiple Choice

A monopoly producing X at a marginal cost of $80 per unit and charges a price of $100 per unit.Determine the elasticity of demand at the profit-maximizing price of $100.

• A)-5.
• B)-0.2.
• C)-0.8.
• D)There is insufficient information to determine the monopoly's price elasticity of demand.

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