What price (PPC) will the competitive industry charge?

M Show more Managerial Decisions for Firms with Market Power For this problem assume the market is a monopoly. Market demand has been estimated as: Qd = 600 10P The firm has a total cost function given as: C = 20Q. a. Determine the profit maximizing level of output (QM) for the firm. b. What price (PM) will the firm charge for this level of output? c. Determine the firms profit. d. Determine the consumer surplus under the monopolist. Now assume the industry is perfectly competitive. e. How much output (QPC) will the competitive industry produce? f. What price (PPC) will the competitive industry charge? g. Determine the industrys profit. h. Determine the consumer surplus under the perfect competition. i. Determine the deadweight loss of the monopoly. Draw a diagram to illustrate your answers. Demand MR MC and ATC curves should be clearly labeled. Quantities and prices should be clearly identified and monopoly profit consumer surplus (under monopoly and competition) as well as the deadweight loss due to the monopoly should be clearly identified. Please answer as soon as possible I need to have this soon! Thank you! Show less

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