Figure 1010 Figure 10

question 185

Essay

Figure 10.10 Figure 10.10 shows cost and demand curves for a monopolistically competitive producer of iced tea.
-Refer to Figure 10.10.to answer the following questions.
a.What is the profit-maximising output level?
b.What is the profit-maximising price?
c.At the profit-maximising output level, how much profit will be realised?
d.Does this graph most likely represent the long run or the short run? Why?
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