3a fill in the total heren ue 3 b what is the units Potist 3

3a) fill in the total heren ue 3 b what is the units Potist 3. 3 .quam tity in Part-b per unit

Solution

....

B.

As it can seen the table that MR and MC are equal at output level at 5 units. So the profit maximising output level is 5 units. This is because profit maximising condition are;

MR=MC

C.

As it can be seen in the table that corresponding to this, the price is $7 per unit. This is profit maximising price.

Q	P	TR	MR	MC
0	12	0	....	3
1	11	11	11	3
2	10	20	9	3
3	9	27	7	3
4	8	32	5	3
5	7	35	3	3
6	6	36	1	3
7	5	35	-1	3
8	4	32	-3	3
9	3	27	-5	3
10	2	20	-7	3