demand function for a firm's domestic and foreign markets are: AT) (5.4) P¡ = 50 - 401 Pa=40- 5Q2 and the total cost function is: TC= 25 + 120, where Q = Qi + Q. a/ Determine

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A10.

The demand function for a firm's domestic and foreign

markets are:

AT) (5.4)

P¡ = 50 - 401

Pa=40- 5Q2

and the total cost function is:

TC= 25 + 120, where Q = Qi + Q.

a/ Determine the prices needed to maximize profit with and without price

discrimination;

b/ Find the maximum profit values in these two cases and give your comment.

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