With its existing production facilities, a monopolist firm can produce up to 100 units. It faces the following demand and cost schedules:
| Output(units) | Price($/unit) | Total Costs($) |
| 0 | 3,000 | 600 |
| 20 | 2,800 | 10,600 |
| 40 | 2,600 | 32,600 |
| 60 | 2,400 | 66,600 |
| 80 | 2,200 | 11,600 |
| 100 | 2000 | 170, |
The optimal output level for this producer (in units) is closest to:
B is correct. The optimal output level is 60 units because it produces the highest profit:
