question archive A monopoly is considering selling several units of a homogeneous product as a single package
A monopoly is considering selling several units of a homogeneous product as a single package
Subject:BusinessPrice: Bought3
A monopoly is considering selling several units of a homogeneous product as a single package. Analysts at your firm have determined that a typical consumer’s demand for the product is Qd = 120 − 0.25P, and the marginal cost of production is $160.
a. Determine the optimal number of units to put in a package.
b. How much should the firm charge for this package?
