Question: Question Given the data below Price Quantity Total revenue (TR) Marginal revenue (MR) Average fixed cost Average variable cost Average total cost Marginal cost ($)
Question
Given the data below
Price
Quantity
Total revenue
(TR)
Marginal revenue
(MR)
Average fixed cost
Average variable cost
Average total cost
Marginal
cost
($)
demanded
($)
($)
($)
($)
($)
($)
100
1
100
100
60.00
45.00
105.00
45
83
2
166
66
30.00
42.50
72.50
40
71
3
213
47
20.00
40.00
60.00
35
63
4
252
39
15.00
37.50
52.50
30
55
5
275
23
12.00
37.00
49.00
35
48
6
288
13
10.00
37.50
47.50
40
42
7
294
6
8.57
38.57
47.14
45
37
8
296
2
7.50
40.63
48.13
55
33
9
297
1
6.67
43.33
50.00
65
29
10
290
- 7
6.00
46.50
52.50
75
A. What can you conclude about the structure of the industry in which this firm is operating? Explain.
B. Determine the profit maximizing price and output for this producer.
C. Since a monopolist need not fear competition, what prevents it from raising its price as high as it wishes to make higher profits?
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