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With a Market Share Demand Curve of QM = 150-

Question 27

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With a market share demand curve of QM = 150-.5P, Becky's Bookshelves can sell more than her current 50 bookshelves at $160.00 each. Once Becky found the amount she could sell given her market share, she revised her firms demand curve to be Q = 200 - P. With her new output, she has a marginal cost of $100 and assuming AVC is covered, she is currently maximizing profit.

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