Maurice Tutor

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    Argosy University/ Phoniex University/
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Category > Economics Posted 27 Jun 2018 My Price 5.00

Pizzas R US

Pizzas R US is the only restaurant that produces and sells pizzas for Bayou La Batre, Alabama. The following equations describe the monopoly's demand, MR, total cost, and MC.

           Demand: P = 10 - Q

           Marginal Revenue: MR = 10 - 2Q

           Total Cost: TC = 3 + Q + 0.5Q2

           Marginal Cost: MC = 1 + Q

How many pizzas does the restaurant produce and what is the price? What is the restaurant's profit? (HINT: Remember a monopoly produces where MC = MR and gets its price off of the demand curve. Also, remember that TR = P*Q.)

Answers

Maurice Tutor
(5)
Status NEW Posted 27 Jun 2018 10:06 PM My Price 5.00

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