GreatReception, Inc., is a single-price monopolist in the market for cell phones. Assume that there is no fixed cost, and both marginal cost and average total cost are constant. Use the calculator below to answer the following questions.
The question is in the attachment provided...
Thanks for your time...
The profit maximising output is where Marginal costs = Marginal revenue. From that you can find the difference between the price and the point where the two lines cross on the graph. You can then multiply your answer by the output giving you thier profit.
To put it simply the answer should be (26 - 12) * 350
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