A Monopolist Faces the Following Demand Curve

question 31

Multiple Choice

A monopolist faces the following demand curve:

The monopolist has total fixed costs of $40 and a constant marginal cost of $5.What is the profit-maximizing level of output?

• A) 7 units
• B) 16 units
• C) 23 units
• D) 31 units

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McCulloch V. Maryland

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