A monopoly has a total cost function c = 250 + x^2 + 5x for its product, which has demand function p = (-1/3)x^2 - 2x +30.
Find the consumer's surplus at the point where the monopoly has a maximum profit.© BrainMass Inc. brainmass.com October 10, 2019, 1:27 am ad1c9bdddf
First we graph the demand curve and cost curve.
You may want to look at http://en.wikipedia.org/wiki/File:Monopoly-surpluses.svg; this picture will tell you where everything is (labeled clearly). Our graph (attached) will look something like ...
The solution finds consumer's surplus at maximum profit level.