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Assume that a monopolist considering to spend 500.000 usd on large campaign to promote the their products.The demand curves are defined byp = 150 - 3q, where q is the output-quantity in 1000-usd. By executing the campaign the firm expects the new demand-curves to bep = 200 - 4q.Their total cost are c(q) = 30q, and the 500.000 usd are not included in this.
If the expectations regarding the demand-curves are correct, is it beneficial for the company to do the campaign?
Period company return market index return, Determine the company and the market index and show the calculations.
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At a product price of $ 40, how many units will this firm produce in the short-run b)At a product price of $ 50, how many units will this firm produce in the short-run c) At a product price of $ 60, how many units will this firm produce in the short..
Assume that a monopolist considering to spend 500.000 usd on large campaign to promote the their products.The demand curves are defined by p = 150 - 3q, where q is the output-quantity in 1000-usd. By executing the campaign the firm expects the new de..
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