Consider a monopoly with inverse demand curve P(q) = 20 – 24 and marginal costs MC(q) = 4 + 49 (a) What is the optimal quantity and price for the monopolist? What is the socially optimal quantity?
(b) Calculate the deadweight loss and reduction in consumer surplus due to monopoly distortions.
(c) Assume now that Congress is debating regulating this monopolistic industry to elim- inate monopoly distortions. Some economists object that setting up a regulatory apparatus is costly in terms of salaries of regulators and other administrative costs. Let F denote this cost. What is the maximal value FMAX such that for F > FMAX it is no longer optimal to set up this regulatory apparatus?

Bayside began 2014 with an inventory t-account debit balance of $155,000. inventory purchases during the year amounted to $75,000. there were no inventory-related write-downs or losses. what is its december 31, 2014, inventory account balance?

Sonic corp. manufactures ski and snowboarding equipment. it has estimated that this year there will be substantial growth in its sales during the winter months. it approaches the bank for credit. what is the purpose of such credit known as? a. expansion b. inventory building c. debt management d. emergency maintenance

The wall street journal reported that walmart stores inc. is planning to lay off 2,300 employees at its sam's club warehouse unit. approximately half of the layoffs will be hourly employees (the wall street journal, january 25-26, 2014). suppose the following data represent the percentage of hourly employees laid off for 15 sam's club stores. 55 56 44 43 44 56 60 62 57 45 36 38 50 69 65 (a) compute the mean and median percentage of hourly employees being laid off at these stores. (b) compute the first and third quartiles. (c) compute the range and interquartile range. (d) compute the variance and standard deviation. (e) do the data contain any outliers? (f) based on the sample data, does it appear that walmart is meeting its goal for reducing the number of hourly employees?