Managerial Economics and Strategy, 2/e

Questions

All exercises are available on MyEconLab; $\ast =answeratthe$ [&\*|=|answer at the&] back of this book; C$=use$[&~bf~|=|~normal~use~norm~&] of calculus may be necessary.

1. Monopoly Profit Maximization  

1. 1.1 If the inverse demand function is $p=300-3Q,$ [&p|=|300|-|3Q,&] what is the marginal revenue function? Draw the demand and marginal revenue curves. At what quantities do the demand and marginal revenue curves hit the quantity axis? (Hint: See Q&A 9.1.)

2. 1.2 If the inverse demand function a monopoly faces is $p=10Q^{-0.5},$ [&p|=|10Q^{|-|0.5},&] what is the firm’s marginal revenue function? C (Hint: See Q&A 9.1.)

3. *1.3 If the inverse demand function is $p=500-10Q,$ [&p|=|500|-|10Q,&] what is the elasticity of demand ...