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Use the following to answer questions below: -A monopolist faces a demand function defined as Q = 40 - 2P. The monopolist's marginal cost is equal to $15 at all levels of output. How many units of output should the firm produce in order to maximize profits? A) 10 B) 7.5 C) 5 D) None of the above is correct.
-A monopolist faces a demand function defined as Q = 40 - 2P. The monopolist's marginal cost is equal to $15 at all levels of output. How many units of output should the firm produce in order to maximize profits?


A) 10
B) 7.5
C) 5
D) None of the above is correct.

Correct Answer:

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