Multiple Choice
Unique Creations has a monopoly position in magnometers.If the marginal cost for a magnometer is $50 and the price elasticity for magnometers is -4,what is the optimal monopoly price? Hint: P (1 +1/E) = MC.
A) $37.50
B) $41.25
C) $66.67
D) $75.00
E) $82.50
Correct Answer:
Verified
Correct Answer:
Verified
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