Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Business Management Expert

Monopolist Profit Maximizing Calculations:

Still having some problems understanding how to calculate these economics equations. I haven't taken calculus yet, so some of the concepts seem foreign to me here. But I'm not just looking for an answer, but the steps on how the answer was arrived. I know at least for the first part, I'll need to find the TR (total revenue) by multiplying price times quantity and then find the MC (marginal cost) and MR (marginal revenue) and solve for Q. But the thing that's throwing me is finding the derivatives with respect to price (dTC/dQ) - I never arrive at the right answer. Please help!

  1. A retailer has an exclusive license to sell a line of handbags. The bags are so distinctive that consumers do not consider any competing offerings to be close substitutes. The retailer thus can be treated as a monopoly. The demand for the handbags is given by P=360-0.1Q. The marginal cost is constant and equal to 40, so variable cost is 40Q. The fixed cost is 90,000. Find the monopolist's profit-maximizing quantity.
  2. As before, a retailer has a monopoly on a type of handbag. The demand for the handbags is given by P=360-0.1Q. The marginal cost is constant and equal to 40, so variable cost is 40Q. The fixed cost is 90,000. Find the monopolist's profit-maximizing price.
  3. As before, a retailer has a monopoly on a type of handbag. The demand for the handbags is given by P=360-0.1Q. The marginal cost is constant and equal to 40, so variable cost is 40Q. The fixed cost is 90,000. Find the monopolist's total revenue if it uses the profit-maximizing price and quantity.
  4. As before, a retailer has a monopoly on a type of handbag. The demand for the handbags is given by P=360-0.1Q. The marginal cost is constant and equal to 40, so variable cost is 40Q. The fixed cost is 90,000. Find the monopolist's total cost if it produces the profit-maximizing quantity.
  5. As before, a retailer has a monopoly on a type of handbag. The demand for the handbags is given by P=360-0.1Q. The marginal cost is constant and equal to 40, so variable cost is 40Q. The fixed cost is 90,000. Find the monopolist's maximum profit.

Business Management, Management Studies

  • Category:- Business Management
  • Reference No.:- M92296904
  • Price:- $25

Priced at Now at $25, Verified Solution

Have any Question?


Related Questions in Business Management

How does diversity affect social justicewhat adjustments

How does diversity affect Social justice? What adjustments need to be made to facilitate participation by people with a disability in a workplace?

In a society where relationships are lineal and people are

In a society where relationships are lineal, and people are believed to be either good or bad, what kind of leadership style would you expect to find?

Adam and barb go to thr store to buy lottery tickets adam

Adam and Barb go to thr store to buy lottery tickets. Adam says, "I will take 10 lottery tickets while Barb says, "I will buy $10.00 worth of tickets." What is each person's price elasticity of demand for lotter tickets?

Explain how the following industries should adapt their

Explain how the following industries should adapt their businesses to the ever expanding use of social networks and mobile computing (smart phones, tablet computers, etc.): 1) Media and Entertainment, 2) Department store ...

The concept of a career development program within a

The concept of a career development program within a specific workplace is helpful for those individuals involved in that particular company. It can also be leveraged as a tool to bring in more talent or {potential} tale ...

How to navigate through the various leadership styles

How to navigate through the various leadership styles within an organization and adjust to the differences in leadership?

Can you give me short cut of using excel word access share

Can you give me short cut of using excel, word, access, share point, and powerpoint microsoft, I am always have to rely on the back and forth, fleepng the pages, it is possible

Writeexecute a sql statement that lists all twenty employee

Write/execute a SQL statement that lists all twenty employee Ids, salaries, department ID in which they work, and their department's name. If an employee is not currently assigned to a department, he/she must still be on ...

What steps are required in determining the big-oh notation

What steps are required in determining the Big-Oh notation for the algorithm when sorting an array of integers 5 7 4 9 8 5 6 3 and showing the contents each time a selection sort changes it while sorting the array into a ...

Wat is the public policy exception to employment at will

What is the public policy exception to employment at will? What's an example of a termination that may be construed as an exception to employment at will based on public policy.

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As