Business, 21.04.2020 04:23 valdezavery1373

Suppose that an inventor discovers a new chemical compound that can change the color of a person's eyes with no negative side effects. Since she holds a patent on this chemical, she has a monopoly over the sale of the new eye-color treatment. However, she's an inventor, not a businessperson. Which of the following statements explain to her how she should set the price for the eye-color treatment in order to maximize her profits?
a) The inventor should produce an output that maximizes total revenue.
b) The inventor should price her product so that price equals marginal cost for the marginal unit.
c) The inventor should establish the marginal revenue and cost for each additional unit produced.
d) The inventor should produce all the units for which marginal revenue equals or exceeds marginal cost.
e) The inventor needs to establish the demand for her product using market research.
f) The inventor needs to establish the supply for her product using market research.

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