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Unformatted text preview: and C(Q 2 ) = 60,000 + 350Q 2 + 2Q 2 2 in its second plant. Marginal costs of production are dC(Q 1 )/dQ 1 = 500 + 10Q 1 and dC(Q 2 )/dQ 2 = 350 + 4Q 2 . Demand for Midwest Electric’s product is Q = 400 – (1/5)P. 3. How many units of power will Midwest produce in the first plant? Second plant? 4. What will the company charge per unit of power? 5. What will the companies profits be?...
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- Summer '09
- Economics, Harshad number, marginal costs, Midwest Electric Company, Midwest Electric