Suppose the demand function in the industry is p = 100 - y and each firm has a constant marginal cost of $40. Suppose there is a monopoly firm and a potential entrant. The output that maximizes the entrant's profit is:
A)20.
B)10.
C)30.
D)15.

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The Answer of Suppose the demand function in the industry is p = 100 - y and each firm has a constant marginal cost of $40. Suppose there is a monopoly firm and a potential entrant. The output that maximizes the entrant's profit is:
A)20.
B)10.
C)30.
D)15.

Suppose the Demand Function in the Industry Is P =