Given the demand and cost estimates

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PriceQuantity Demanded

(per week)Marginal

CostTotal

RevenueMarginal

RevenueFixed

CostTotal

Cost

$60 1 $50 $60 $60 $40 $90

$55 2 $20 $110 $50 $40 $110

$50 3 $24 $150 $40 $40 $134

$45 4 $29 $180 $30 $40 $163

$40 5 $35 $200 $20 $40 $198

$35 6 $45 $210 $10 $40 $243

According to this chart how do you answer the following questions

a. Assuming you are currently charging $55 per table set, what should you do if you want to maximize profits?Answer

b. Given the demand and cost estimates, what price should you change if you want to maximize your weekly profit?What output should you produce? What is your weekly profit?

Reference no: EM13882776

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