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A risk neutral monopoly must set output before it knows for sure the market price. There is a 50% chance the firm's demand will be P=20-Q and a 50% chance it will be P=40-Q. The marginal cost of the firm is MC=Q. What is the expression for the expected marginal revenue function?

E(MR)=20-2Q? E(MR)=30-2Q? E(MR)=40-2Q? E(MR)=50-2Q?

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91696619

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