Use the following data for a pure monopoly to calculate the firm's:
a) total revenue, marginal revenue, marginal costs, and average total cost;
b) its profit-maximizing output level and produce price;
c) its profit.
d) Use the price-cost formula to determine whether or not the firm's operations are productively-efficient. (e) Use the price-cost formula to determine whether or not the firm's operations are allocatively efficient.
|
Q (P = AR)
|
TR
|
MR
|
|
TC
|
MC
|
ATC
|
|
0
|
$ 0
|
|
$ 60
|
|
|
|
|
1
|
58
|
|
100
|
|
|
|
|
2
|
57
|
|
136
|
|
|
|
|
3
|
56
|
|
168
|
|
|
|
|
4
|
55
|
|
200
|
|
|
|
|
5
|
54
|
|
235
|
|
|
|
|
6
|
53
|
|
276
|
|
|
|
|
7
|
52
|
|
322
|
|
|
|
|
8
|
51
|
|
376
|
|
|
|