Refer to the following figure. What is the equation for marginal revenue?
A. MR = 4,000 - 0.005P
B. MR = 20 - 200Q
C. MR = 4,000 - 200Q
D. MR = 20 - 0.01Q
E. MR = 4,000 - 200P
Answer: D
You might also like to view...
"If a natural monopoly is regulated using a marginal cost pricing rule, the firm makes zero economic profit." Is the previous statement correct or incorrect? Explain your answer
What will be an ideal response?
Which of the following properties hold true for the equilibrium price-quantity combination?
a. Buyers who are willing to pay higher than the equilibrium price do not find sellers. b. At the equilibrium price producer surplus equals consumer surplus. c. The equilibrium output is produced at the lowest avoidable cost. d. The equilibrium output is produced at the lowest opportunity cost.
An increase in nominal income will result in:
a. a decrease in money market equilibrium. b. an excess demand for bonds. c. an increase in bond prices. d. an excess supply of money. e. a higher interest rate.
Which is not one of the four basic questions used by economists to break down problems?
A. Why isn't everyone already doing it? B. What are the trade-offs? C. How will others respond? D. What do others think?