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Monopoly with two production plants and cost functions of C1 = 50 + 0.1 Q1^2 and C2 = 30 + 0.05 Q2^2. The demand it faces is Q = 500 - 10 P. What is the profit maximizing level of output? Show steps:
Possible answers:
Q1 = 62.5; Q2 = 125.
Q1 = 125; Q2 = 62.5.
Q1 = Q2 = 125.
Q1 = Q2 = 62.5.

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