1
answer
0
watching
318
views
28 Sep 2019
The following are the demand and total cost schedules for Company Town Water, a local monopoly:
Output in Gallons Price per Gallon Total Cost
50,000 $0.28 $6,000
100,000 0.26 15,000
150,000 0.22 22,000
200,000 0.20 32,000
250,000 0.16 46,000
300,000 0.12 64,000
How much output will Company Town Water produce, and what price will it charge? Will it earn profit? How much? (Hint: First compute the firm's MR and MC schedules.)
Please read the question carefully and answer ALL parts of the question and show ALL work and expalin answers.
The following are the demand and total cost schedules for Company Town Water, a local monopoly:
Output in Gallons Price per Gallon Total Cost
50,000 $0.28 $6,000
100,000 0.26 15,000
150,000 0.22 22,000
200,000 0.20 32,000
250,000 0.16 46,000
300,000 0.12 64,000
How much output will Company Town Water produce, and what price will it charge? Will it earn profit? How much? (Hint: First compute the firm's MR and MC schedules.)
Please read the question carefully and answer ALL parts of the question and show ALL work and expalin answers.
Yusra AneesLv10
30 Sep 2019
