# inverse demand function

The manager of monopolistically competitive firm and your demand and cost functions are the following:

Q=20 -2P and C(Q) = 104 -14Q + Q(2nd Power)

a. Find the inverse demand function for your firm's product?

b. Determine the profit-maximizing price and level of production?

c. Calculate your firm's maximum profits?

d. What long-run adjustments should you expect? Explain you findings.

https://brainmass.com/economics/output-and-costs/inverse-demand-function-example-problem-58924

#### Solution Summary

Profit-maximizing price and level of production are shown.

$2.19