Given 3 equations:
MR = 500 - 10Q
TR = 2000Q - (20Q)(20Q) didn't know how to put in squared
MC = 200 + 10Q
Calculate the following:
A. The price and quantity supplied for the monopolist
B. The price and quantity supplied for the perfect competitor.
a) The decision rule for monopoly is find the quantity where MC=MR and then look for the price at that point.
Equating both we get Q=15
Now TR=P*Q, so ...
The decision rule for monopoly is utilized.