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Profit-maximizing level of output and advertising

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Reference no: EM132299130

Consider a monopolist that faces a demand curve that is a function of both price and the level of advertising it chooses: p = 100 -Q+ A0.5 , where Q is its quantity, and A is its choice of advertising. If its cost function is C(Q, A) = 10Q + A, what is its profit-maximizing level of output and advertising?

Reference no: EM132299130

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