Refer to Table 7.1, which shows the relationship between the price that Gladys charges for a product and the quantity of that product that Gladys sells. The marginal revenue that Gladys receives from selling the fifth unit of output is:
A. $5, because that is the price per unit of output that Gladys receives.
B. $5, because that is the quantity that Gladys sells.
C. $25, because Gladys sells five unit of output at a price of $5.
D. $1, because Gladys earns $1 more in revenue by increasing her output to five units from four units.
Answer: D
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