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Economics

A firm with monoply power has the demand curve:
P = 100 - 3Q + 4A^1/2

And has the total cost function:
C = 4Q^2 + 10Q + A

where A is the level of advertising expenditures. P is price, Q is output.
How do I find the values of A, Q, and P that maximize the firm's profit?

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Dan

  1. I need the solution if this economics qaustion
    A firm with monoply power has the demand curve:
    P = 100 - 3Q + 4A^1/2

    And has the total cost function:
    C = 4Q^2 + 10Q + A

    where A is the level of advertising expenditures. P is price, Q is output.
    How do I find the values of A, Q, and P that maximize the firm's profit?

    1. 👍
    2. 👎
    Abel

  2. give answer

    1. 👍
    2. 👎
    melkamu

  4. A = 4 Advertisement
    Q = 7 units
    P = 87 units

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    2. 👎
    Pascal

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