P = 1200 – 0.04Q (A)Calculate the revenue-maximizing price-output combination and revenue level. If Best Buy's marginal cost per unit is constant at $800, calculate profits at this activity level. (B) Calculate the profit-maximizing price-output combination. Also calculate revenues and profits at the profit-maximizing activity level.

P = 1200 – 0.04Q (A)Calculate the revenue-maximizing price-output combination and revenue level. If Best Buy's marginal cost per unit is constant at $800, calculate profits at this activity level. (B) Calculate the profit-maximizing price-output combination. Also calculate revenues and profits at the profit-maximizing activity level.

Economics Today and Tomorrow, Student Edition

1st Edition

ISBN:9780078747663

Author:McGraw-Hill

Publisher:McGraw-Hill

Chapter5: Buying The Necessities

Section: Chapter Questions

Problem 20AA

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