Pure Monopoly

Gap-fill exercise

Fill in all the gaps, then press "Check" to check your answers. Use the "Hint" button to get a free letter if an answer is giving you trouble. You can also click on the "[?]" button to get a clue. Note that you will lose points if you ask for hints or clues!

Fill in the spaces of this monopolistic competitor

Quantity of Output
Total Cost
Marginal Cost
Average Total Cost
Total Revenue
Marginal Revenue
Average Revenue (Price)
0
0
0
0
0
1
900
900
900
1200
1200
1200
2
1600
700
800
2100
900
1050
3
2100
700
2700
900
4
2400
3000
300
5
3000
600
3000
6
4200
1200
2700
-300

A profit-maximizing monopolist would produce an output of units.
At this level of output, MC is $ per unit and MR is $ per unit.
At this level of output, the AC is $ and the AR (price) is $ per unit.
This gives the monopolist an economic profit of $ per unit for a total economic profit of $