Consider the following table, which represents demand and cost conditions for a monopoly firm.
(a) Fill in the missing values.
(b) What output level should the firm produce? Explain. $$\begin{array} { | c | c | c | c | c | c | c | c | }
\hline \text { Quantity } & \text { Price } & \begin{array} { c }
\text { Total } \
\text { Revenue }
\end{array} & \begin{array} { c }
\text { Marginal } \
\text { Revenue }
\end{array} & \begin{array} { c }
\text { Total } \
\text { Cost }
\end{array} & \begin{array} { c }
\text { Marginal } \
\text { Cost }
\end{array} & \begin{array} { c }
\text { Average } \
\text { Total } \
\text { Cost }
\end{array} & \text { Profit } \
\hline 0 & \$ 50 & & & & & & \$ - 60 \
\hline 1 & 45 & & & & \$ 3 & & \
\hline 2 & 40 & & & & 5 & & \
\hline 3 & 35 & & & & 11 & & \
\hline 4 & 30 & & & & 13 & & \
\hline 5 & 25 & & & & 21 & & \
\hline 6 & 20 & & & & 39 & & \
\hline 7 & 15 & & & & 45 & & \
\hline 8 & 10 & & & & 60 & & \
\hline
\end{array}$$ (NOTE: Marginal values should be interpreted as values between levels of output.)

Question

Consider the following table, which represents demand and cost conditions for a monopoly firm.
(a) Fill in the missing values.
(b) What output level should the firm produce? Explain. $$\begin{array} { | c | c | c | c | c | c | c | c | } 
\hline \text { Quantity } & \text { Price } & \begin{array} { c } 
\text { Total } \
\text { Revenue }
\end{array} & \begin{array} { c } 
\text { Marginal } \
\text { Revenue }
\end{array} & \begin{array} { c } 
\text { Total } \
\text { Cost }
\end{array} & \begin{array} { c } 
\text { Marginal } \
\text { Cost }
\end{array} & \begin{array} { c } 
\text { Average } \
\text { Total } \
\text { Cost }
\end{array} & \text { Profit } \
\hline 0 & \$ 50 & & & & & & \$ - 60 \
\hline 1 & 45 & & & & \$ 3 & & \
\hline 2 & 40 & & & & 5 & & \
\hline 3 & 35 & & & & 11 & & \
\hline 4 & 30 & & & & 13 & & \
\hline 5 & 25 & & & & 21 & & \
\hline 6 & 20 & & & & 39 & & \
\hline 7 & 15 & & & & 45 & & \
\hline 8 & 10 & & & & 60 & & \
\hline
\end{array}$$ (NOTE: Marginal values should be interpreted as values between levels of output.)

Quizplus · Accepted Answer

The Answer of Consider the following table, which represents demand and cost conditions for a monopoly firm.
(a) Fill in the missing values.
(b) What output level should the firm produce? Explain. $$\begin{array} { | c | c | c | c | c | c | c | c | } 
\hline \text { Quantity } & \text { Price } & \begin{array} { c } 
\text { Total } \
\text { Revenue }
\end{array} & \begin{array} { c } 
\text { Marginal } \
\text { Revenue }
\end{array} & \begin{array} { c } 
\text { Total } \
\text { Cost }
\end{array} & \begin{array} { c } 
\text { Marginal } \
\text { Cost }
\end{array} & \begin{array} { c } 
\text { Average } \
\text { Total } \
\text { Cost }
\end{array} & \text { Profit } \
\hline 0 & \$ 50 & & & & & & \$ - 60 \
\hline 1 & 45 & & & & \$ 3 & & \
\hline 2 & 40 & & & & 5 & & \
\hline 3 & 35 & & & & 11 & & \
\hline 4 & 30 & & & & 13 & & \
\hline 5 & 25 & & & & 21 & & \
\hline 6 & 20 & & & & 39 & & \
\hline 7 & 15 & & & & 45 & & \
\hline 8 & 10 & & & & 60 & & \
\hline
\end{array}$$ (NOTE: Marginal values should be interpreted as values between levels of output.)

Consider the Following Table, Which Represents Demand and Cost Conditions