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Question: high wire cinema is the only movie theater in a...

Question details

High Wire Cinema is the only movie theater in a small town. The following graph shows the market demand, marginal revenue, and cost curves of this single-price monopoly.
PRICE PER TICKET (Dollars) 20 18 16 MC 14 12 ATC 10 6 MR 5 10 15 20 25 30 35 40 45 50 QUANTITY OF TICKETS

Question 6

If the monopolist produces at the profit maximizing rate of output, what will be the total cost?

Select one:

a. $1200

b. $400

c. $120

d. $800

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