Find the profit maximizing price and level of production

Reference no: EM1370226

Suppose you are a manager of a monopolistically competitive company, and your demand and cost functions are given by Q=20-2P and C(Q) = 104 - 14Q + Q^2

a) find the inverse demand function for your firms product
b) determine the profit maximizing price and level of production
c) calculate your firms profits
d) what long run adjustments should you expect

Reference no: EM1370226

Questions Cloud

Profit maximizing level of output : Suppose that a perfectly competitive company is currenly producing 5,000 units of output and is earning $10,000 in total revenue.

Explain some research and come up with a real example : Explain some research and come up with a real example of how effective decisions can positively impact the business

Explain method for combining two trees-heap-order property : Assume two binary trees, T 1 and T 2 , hold entries satisfying heap-order property. Explain method for combining T 1 and T 2 into a tree T whose internal nodes hold union of entries

Business problem from professional work experience : Business problem from your professional work experience - Find a business problem from your own professional work experience or literature-articles from newspapers, business journals, business magazines, etc.

Find the profit maximizing price and level of production : Suppose you are a manager of a monopolistically competitive company, and your demand and cost functions are given by Q=20-2P and C(Q) = 104 - 14Q + Q^2

Determination of price-output : Determine price and the level of service if competitive bidding results in a perfectly competitive price/output combination. Determine price and the level of service if the car lot grants a monopoly franchise.

Explain what advice would you give to management concerning : Explain What advice would you give to management concerning the best way to implement strategic choice in an organization?

Unlocking and sharing business databases : What are the business benefits to Amazon and EBay of opening up some of their databases to developers and entrepreneurs? Do you agree with this strategy?

Estimate the firm net operating income : Jason Kidwell is able to purchase Toys'n Things, for $2.2 million. Jason estimates that after initiating his changes in the company's operations the firm's cost of goods sold are 55 percent

User Account

All Pages