Reference no: EM131893521

The following table shows the maximum amount five potential car buyers are willing to pay for each level of sales. Suppose that the cars are being sold by a car dealer operating as a monopoly (perhaps because there are no other car dealers in the market).

| Maximum Amount He or She Would Pay for the Car

Buyer 1  |   $45,000   

Buyer 2  |   $40,000   

Buyer 3  |   $35,000   

Buyer 4  |   $30,000  

Buyer 5     $25,000

a) If the price of the car is $35,000, the revenue will be $ ___.

b) If the marginal cost of each car is $15,000. The monopolistic car dealer will want to sell ___ cars and the price will be $.

c) In a perfectly competitive market, the number of cars sold would be ___ cars.