Macrosoft, a profit maximizing software provider, has a fully enforceable patent on word processing software. They can produce software with no fixed costs and with a constant MC of $20 / software package. The market for word processing software is characterized by the demand curve:
QD = 60 - P
P -- $ / software package
Q -- software packages
Macrosoft thus faces the following marginal revenue schedule:
MR = 60 - 2Q
Initially, Macrosoft's TC (total cost) is represented by which of the following functions?