Use the following table to work Problems 5 to 9. Minnie's Mineral Springs, a single-price monopoly,...

 

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Use the following table to work Problems 5 to 9. Minnie's Mineral Springs, a single-price monopoly, faces the market demand schedule: Price (dollars per bottle) 10 8 6 4 2 0 5. a. Calculate Minnie's total revenue schedule. b. Calculate its marginal revenue schedule. 6. a. Draw a graph of the market demand curve and Minnie's marginal revenue curve. a. Quantity demanded (bottles per hour) b. Why is Minnie's marginal revenue less than the price? 7. a. At what price is Minnie's total revenue maxi- mized? 0 1 2 3 4 5 b. Over what range of prices is the demand for water from Minnie's Mineral Springs elastic? 8. Why will Minnie not produce a quantity at which the market demand for water is inelastic? 9. Minnie's Mineral Springs faces the market demand schedule in Problem 5 and has the fol- lowing total cost schedule: Quantity produced (bottles per hour) 0 2 3 4 5 Total cost (dollars) 1 37733. 13 21 31 Calculate Minnie's profit-maximizing output and price. b. Calculate the economic profit. Use the following table to work Problems 5 to 9. Minnie's Mineral Springs, a single-price monopoly, faces the market demand schedule: Price (dollars per bottle) 10 8 6 4 2 0 5. a. Calculate Minnie's total revenue schedule. b. Calculate its marginal revenue schedule. 6. a. Draw a graph of the market demand curve and Minnie's marginal revenue curve. a. Quantity demanded (bottles per hour) b. Why is Minnie's marginal revenue less than the price? 7. a. At what price is Minnie's total revenue maxi- mized? 0 1 2 3 4 5 b. Over what range of prices is the demand for water from Minnie's Mineral Springs elastic? 8. Why will Minnie not produce a quantity at which the market demand for water is inelastic? 9. Minnie's Mineral Springs faces the market demand schedule in Problem 5 and has the fol- lowing total cost schedule: Quantity produced (bottles per hour) 0 2 3 4 5 Total cost (dollars) 1 37733. 13 21 31 Calculate Minnie's profit-maximizing output and price. b. Calculate the economic profit.

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