Managerial Economics - Optimal Output and Pricing

Your local monopoly is considering selling several units of homogeneous product as a single package. A typical consumer's inverse demand function is P = 200 - 4Q. Marginal cost is $120.
a. Determine the optimal number of units to put in a package.
b. How much should the firm charge for this package?

© SolutionLibrary Inc. September 30, 2020, 8:23 pm 9836dcf9d7