A firm is considering entering a market where demand for its product is Q = 100 - P.This demand function implies that the firm's marginal revenue function is MR = 100 - 2Q.The firm's total cost of producing the product for that market is TC = 500 + 10Q + Q² which indicates that its marginal cost function is MC = 10 + Q.Indicate whether or not the firm should enter the market by calculating the firm's profit (Hint: to find the price that the firm should charge,take the profit maximizing quantity and plug it into the demand equation).Describe how your previous answer would change if the firm's total cost function became TC = 1000 + 10Q + Q².

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The Answer of A firm is considering entering a market where demand for its product is Q = 100 - P.This demand function implies that the firm's marginal revenue function is MR = 100 - 2Q.The firm's total cost of producing the product for that market is TC = 500 + 10Q + Q² which indicates that its marginal cost function is MC = 10 + Q.Indicate whether or not the firm should enter the market by calculating the firm's profit (Hint: to find the price that the firm should charge,take the profit maximizing quantity and plug it into the demand equation).Describe how your previous answer would change if the firm's total cost function became TC = 1000 + 10Q + Q².

A Firm Is Considering Entering a Market Where Demand for Its