Microeconomics 6th Edition by Robert Hall, Shirley Kuiper, Marc Lieberman

Exercise 5

Suppose a single-price monopoly's demand curve is given by P = 20 ? 4 Q ,where P is price and Q is quantity demanded. Marginal revenue is MR = 20 ? 8 Q. Marginal cost is MC = Q 2. How much should this firm produce in order to maximize profit?