Author Question: If an unregulated electric company is a monopolist, faces demand of Q = 100 - 50P, and has a ... (Read 62 times)

cagreen833 · **on:** Jul 1, 2018

If an unregulated electric company is a monopolist, faces demand of Q = 100 - 50P, and has a constant marginal cost of 1, the profit-maximizing price is
a. 0
b. 1
c. 1.5
d. 2

Question 2

If an unregulated electric company is a monopolist, faces demand of Q = 100 - 50P, and has constant total costs, the profit-maximizing level of output is
a. 50
b. 100
c. 25
d. 12.5