Figure 15-5
-Refer to Figure 15-5. A profit-maximizing monopoly's total cost is equal to
A)P2 x Q3.
B)P4 x Q3.
C)P5 x Q3.
D)(P2-P5) x Q3.

Name: Figure 15-5 -Refer to Figure 15-5. A profit-maximizing monopoly's total cost is equal to A)P2 x Q3. B)P4 x Q3. C)P5 x Q3. D)(P2-P5) x Q3.
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Question

Figure 15-5 
-Refer to Figure 15-5. A profit-maximizing monopoly's total cost is equal to
A)P2 x Q3. 
B)P4 x Q3. 
C)P5 x Q3. 
D)(P2-P5) x Q3.

Quizplus · Accepted Answer

Total cost is equal to the area between the marginal cost curve and the quantity axis, which in this case is P5 x Q3.

Figure 15-5 -Refer to Figure 15-5. a Profit-Maximizing Monopoly's Total Cost Is