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You Are the Manager of a Firm That Has an Exclusive

Question 138

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You are the manager of a firm that has an exclusive license to produce your product.The inverse market demand curve is P = 900 - 1.5Q.Your cost function is C(Q)= 2Q + Q2.Determine the output you should produce,the price you should charge,and your profits.

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Here,MR = 900 − 3Q and MC = 2 + 2Q.Setti...

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