We again use the short run cost function from questions $1422,$ but this time the firm will be a

monopolist facing a very different demand curve. You are reminded that the short run cost function is:

TC $=4$q$2+15$q $+576$ q $2$

where q is output per day and TC is the total cost per day in dollars. The firm has fixed costs of $$320$

$($already included in the TC equation above$).$ The TC equation generates minimum average costs of $$111$

$($per unit$)$ at

q $=12.$ The firm is a monopolist with the cost function as defined by the TC equation provided above, and

the monopolist faces an industry demand curve given by the equation

P $=30312$Q

Questions $24$ through $27$ concern this firm and this industry in the short run. You are reminded that there are

no longer $1600$ firms in this industry, and that barriers prevent any entry.

$24.$ The price charged by the monopolist in the short run is:

A$)$ $$111$ B$)$ $$195$ C$)$

$$87$ D$)$ $$123$

E$)$ $$144$

F$)$ $$167$ G$)$ $$207$ H$)$

$$219$ I$)$ $$231$ J$)$

$$159$

$25.$ Continuing question $24,$ the profit earned by the firm in the short run is:

A$)$$$252$ B$)+$$$252$ C$)$$$720$

D$)$ $$720$ E$)$

$$1035$

F$)$ $$1755$ G$)$ $$195$ H$)$ $$576$

I$)$ $$400$ J$)$

$$256$

$26.$ Continuing question $24,$ the deadweight loss generated by the monopolist in the short run is:

A$)$ $$252$ B$)+$$$2073\mathrm{.}6$ C$)$ $$972$

D$)$ $$720$

E$)$ $$324$

F$)$ $$486$ G$)$ $$14\mathrm{.}4$ H$)$

$$291\mathrm{.}6$ I$)$ $$400$ J$)$

$$256$

$27.$ Continuing the situation described in question $24($the short run, a single firm, and demand given by P $=$

$30312$Q$),$ suppose that the government now imposes a tax on consumers of $$32$ per unit. With the tax, the

fraction of the tax that is borne by the seller in the short run is:

A$)0$ B$)1/8$ C$)$

$1/4$ D$)3/8$

E$)7/16$

F$)1/2$ G$)9/16$ H$)$

$5/8$ I$)3/4$

J$)7/8$