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    Profit maximization and price elasticity of demand

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    Calculate the profit maximizing price if MC is $8.00 and price elasticity of a firm's product equals -2.

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    https://brainmass.com/economics/demand-supply/profit-maximization-and-price-elasticity-of-demand-516769

    Solution Summary

    Solution describes the steps to estimate the profit maximizing price by using elasticity and marginal cost.

    $2.19