Adjust the graph to show the profitmaximizing quantity Be su

Adjust the graph to show the profit-maximizing quantity. Be sure you are satisfied with your positioning of the graph when you leave this page; your answer to this question is based on the position of the graph. Profit is not maximized to the right of the profit-maximizing quantity found above because Profit is not maximized to the left of the profit-maximizing quantity found above because at lower quantities

Solution

Under monopoly, profit would be maximized where MC (marginal cost) is equal to the MR (marginal Revenue). See the attached graph for better understanding.

As seen from the graph, quantity must be 300, where MC=MR.As a result price would be between 80 & 120, must be 100.

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