#20 please :) 63% , Tue 6:12 PM c.learn.csuci.edu 0 oo! cengagebrain myCI Unders
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#20 please :) 63% , Tue 6:12 PM c.learn.csuci.edu 0 oo! cengagebrain myCI Understanding GDP CourseHero Econ HW Review 1st 2nd 3rd price discrimination- Google Search Suppose a monopolist recognizes that students have a diffe...+ ate Microeconomics>Files Production and Cost- Solutions.pdf Econ 310-Practice Final-Fall 2017.pdf (page 3 of 4) Q Searcl Questions 18-21 rely on the following prompt: Firm A and Firm B compete in the sale of a product with market inverse demand given by P(R) 150-Q, where Q is market output, and QQB (QA Firm A's output, qp Firm B's output). Firm A's Total Cost function is given by TC(%) = 104a and Firm B's is given by TCB(qb) = 104a. 18. Find the value of Q when Firms A and B Cournot compete to maximize profits G.e. when they simultaneously determine profit maximizing output). 19. At what price will Firms A and B sell their output? 20. Suppose that Firm A's total cost function were to change to TCA(qa) = 104A + 50, (so, a fixed cost of 50 has been added). How will Firm A's profit maximizing output level change as a result of this? How will Firm B's profit maximizing output level change as a result of this?Explanation / Answer
2- profit maximizing output level doesnt change because of this because in the profit function we equate MR = MC, and mc is still 10, thus the only change that will come will be in the total profits on the firm A after the sale has been made, nor will there be any change in the b's profit max level of output.
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