Microeconomic Theory - Competitive Behavior
A monopolistic competitive firm has the following marginal revenue(MR) and marginal cost(MC) function as follows:
MR = 100 - 20Q where Q= quantity of units supplied
The aggregate demand for this firm's product/service is given as:
P = 100 - 10Q where P= price and Q=quantity demanded
Question: What are the level of profits associated with this profit maximizing level of output?