2016, Question 3 · 6 points

Dessert cafe in monopolistic competition

Graph a monopolistically competitive cafe in long-run equilibrium with its profit-maximizing output and price, mark the output that maximizes total revenue, and decide whether firms have economies of scale there.

This exam had three free-response questions to answer in a 50 minute writing period after a 10 minute reading period, with about half the time suggested for Question 1 and the rest split evenly between Questions 2 and 3. The current exam has 3 free-response questions in 60 minutes. The skills these questions practice still count.

1 Read the question

The question is College Board's, from the 2016 exam. It starts on page 4 of the PDF. College Board no longer posts this exam, so it opens from the copy of College Board's PDF that the Internet Archive saved on December 23, 2025.

Open Question 3 (PDF, page 4)

2 Write your answer

Answer each part the way you would on the exam, in full sentences, with your work shown. Your writing saves as you type.

3 Score it

Score your answer against College Board's scoring guidelines, one point at a time. Give yourself a point only when your answer says what the guideline asks for.

Scoring guidelines (PDF, page 5) What the exam readers saw (Student Performance Q&A)

Question, scoring guidelines and Chief Reader report: College Board, from the Internet Archive. The title, summary are ours.