Question: Hi there, I need help with these questions. Please explain the answers in full detail and with working out the questions. Thanks Q1) The inverse

Hi there, I need help with these questions. Please explain the answers in full detail and with working out the questions.

Thanks

Q1) The inverse demand curve a monopoly faces is p = 100 - Q . The firm's cost curve is C(Q) = 10 + 5Q (so MC = 5). What is the profitmaximizing solution? How does your answer change if C(Q) = 100 + 5Q ?

Q2)The inverse demand curve a monopoly faces is p = 10Q-0.5 .

a. What is the firm's marginal revenue curve?

b. The firm's cost curve is C(Q) = 5Q . What is the profit-maximizing solution?

Q3) Consider the inverse demand curve p = 210 - 3Q and the cost function C = 100 + 2Q2 . If the market were competitive, calculate the incidence of a specific tax, t=7, that would fall on consumers. Calculate the incidence of the same tax if the market were instead a monopoly.

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