economic_monopoly

please finish the excel questions……………………..(in the attachment)

A monopoly faces the inverse demand function: p = 100 – 2Q, with the corresponding marginal revenue function, MR = 100 – 4Q. The firm’s total cost of production is C = 50 + 10Q + 3Q², with a corresponding marginal cost of MC = 10 + 6Q.

a. Create a spreadsheet for Q =1, 2, 3, …, 15. Using the MR = MC rule, determine the profit-maximizing output and price for the firm and the consequent level of profit.

b. Now suppose that a specific tax of 20 per unit is imposed on the monopoly. What is the effect on the monopoly’s profit-maximizing price?

 
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