Maximizing output and price for a single-price monopolist

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1) Assume that market demand is Qd= 1500-2P A. If marginal cost equals $250 per unit and there are no other costs, what is the profit maximizing output and price for a single-price monopolist?

2)  Assume a monopolist faces two market segments. Demand in the first segment is defined by Q1d=900-3P. Demand in the second segment is defined by Q2d=700-P.  The firm faces a constant marginal cost of $100 per unit and no fixed costs. 

A.  Assume the firm is a third-degree price discriminating monopoly and can differentiate between the two groups. Fill in the values below for segments one and two:

P1 = __________

Q1 = __________

P2 = __________

Q2 = __________

Total PS = __________

Reference no: EM131326490

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