A Monopolist Produces and Sells 400 Units at a Price

question 13

Multiple Choice

A monopolist produces and sells 400 units at a price of $40 per unit. The monopolist's marginal cost is equal to $15 and average cost is equal to $23. The monopolist's profit is:

• A) $6,800.
• B) $8,000.
• C) $10,000.
• D) $16,000.
• E) None of these are correct.

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Definitions:

Homesteads

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Tejanos

People of Mexican heritage who live in Texas, historically established prior to the state's independence from Mexico.

Anglos

A term often used to describe English-speaking people, particularly of British or American descent, in contexts where cultural or linguistic distinction is emphasized.

Gold Rush

The massive migration of Americans into California territory in the late 1840s and 1850s in pursuit of gold, which was discovered there in 1848.