The problem describes a monopolist with a given total cost function $TC = Q^2 + 10Q + 100$, a marginal cost function $MC = 2Q + 10$, and a demand function $Q = 130 - P$, which leads to a marginal revenue function $MR = 130 - 2Q$. The goal is to find the profit-maximizing output level.
Applied MathematicsMicroeconomicsMonopolyProfit MaximizationMarginal CostMarginal RevenueDemand FunctionTotal Cost
2025/7/1
1. Problem Description
The problem describes a monopolist with a given total cost function , a marginal cost function , and a demand function , which leads to a marginal revenue function . The goal is to find the profit-maximizing output level.
2. Solution Steps
To find the profit-maximizing output, we need to set marginal cost (MC) equal to marginal revenue (MR).
Now, we solve for Q:
3. Final Answer
The profit-maximizing output is
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