Dan is the owner of a price-taking company that manufactures sporting goods. One particular facility Dan owns produces baseball bats and baseball gloves. His cost function for baseball bats is CB(QB, QG) = 100QB + QB2 + QBQG and the marginal cost is MCB = 100 + 2QB + QG, where QB is the output level for bats and QG is the output level for gloves. Dan's cost function for baseball gloves is CG(QB, QG) = 50QG + QG2 + QGQB, and the marginal cost is MCG = 50 + 2QG + QB. The price of a baseball bat is $240 and the price of a baseball glove is $150. What is Dan's total profit assuming he is producing both products at their profit-maximizing sales quantities?
A. $3,600
B. $4,000
C. $4,400
D. $4,500
B. $4,000
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With asymmetric information firms might be reluctant to improve the quality of their products because
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In 2017, new stock sales accounted for ____ in corporate financing because corporations bought back some of their stock.
A. $2 billion B. ?$379 billion C. $1 trillion D. ?$65 billion