Answer to Question #25424 in Microeconomics for michelle corbett
MC = C' = (500+5Q^2)' = 10Q.
Pd = 600 - 5Q
MC = Pd
10Q = 600 - 5Q
15Q = 600
Q = 40 units of output.
So, when Q = 40, the average cost is minimized and profit is maximized.
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