The graph below shows the demand curve and cost data for a firm operating as a monopolist.
Graphing window shows horizontal axis: 0 to 30, vertical axis: 0 to 30. Start Graph, Color red
x
y
0
10
1
9.5
2
9
3
8.5
4
8
5
7.5
6
7
7
6.5
8
6
9
5.5
10
5
11
4.5
12
4
13
3.5
14
3
15
2.5
16
2
17
1.5
18
1
19
0.5
20
0
21
-0.5
22
-1
23
-1.5
24
-2
25
-2.5
26
-3
27
-3.5
28
-4
29
-4.5
30
-5
Start Graph, Color blue
x
y
0
10
1
9
2
8
3
7
4
6
5
5
6
4
7
3
8
2
9
1
10
-0
11
-1
12
-2
13
-3
14
-4
15
-5
16
-6
17
-7
18
-8
19
-9
20
-10
21
-11
22
-12
23
-13
24
-14
25
-15
Start Graph, Color black
x
y
0
0
1
1.5
2
3
3
4.5
4
6
5
7.5
6
9
7
10.5
8
12
9
13.5
10
15
11
16.5
12
18
13
19.5
14
21
15
22.5
16
24
17
25.5
18
27
19
28.5
20
30
21
31.5
22
33
23
34.5
24
36
25
37.5
26
39
27
40.5
28
42
29
43.5
30
45
Label "Quantity of Kilowatt Hours of Electricity" at pixel coordinates (175,0).Label "Price of Kilowatt Hours of Electricity" at pixel coordinates (0,170).
The blue line shows:
Marginal Revenue
Hint
Box 1: Select the best answer
Question 2
The red line shows:
Demand Curve
Hint
Box 1: Select the best answer
Question 3
The black line shows:
Marginal Costs
Hint
Box 1: Select the best answer
Question 4
The profit maximizing quantity for this monopolist is:
4
Hint
Box 1: Select the best answer
Question 5
What price will the monopolist set in order to maximize profits (or minimize losses)?