Suppose Shell purchased every gas company in the world and set their prices. Then, it would have a control of the gas market with no other…

Suppose Shell purchased every gas company in the world and set their prices. Then, it would have a control of the gas market with no other competition. Thus Shell becomes a monopolist in providing gas. The market demand curve faced by Shell is P = -Q + 40, and Shell’s cost is given by TC=Q2 + 140, and the marginal cost is given by MC=2Q.

  1. What will Shell’s total profit be?
  2. 30
  3. 140
  4. 20
  5. 60
Looking for a Similar Assignment? Our Experts can help. Use the coupon code SAVE30 to get your first order at 30% off!