Monopoly Profit Maximisation Question (Marginal Cost / Revenue) Watch

cdj94
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(i) Consider the following demand schedule for a monopoly: 𝑄 = 50 − 𝑃
where 𝑃 is the price of output and 𝑄 is the quantity produced.

The isoprofit functions of the firm are given by 𝑃 = π/q where π = profit level.

Question:
Find the price and quantity that the firm will choose if itwishes to maximise profits and sketch the profit maximising position.

My Attempt:

Profit maximisation is at MC=MR.

Can calulate Marginal Revenue by Rearranging demand to P=50-q. Total Revenue = (50-q)*q = 50q-q^2

MR=50-2q.

However, how do I work out Marginal Cost? I presume in need to use the profit function? not sure where to go!

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cdj94
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