Question

Given the level of demand below, what is the marginal revenue of the fifth unit of...

Given the level of demand below, what is the marginal revenue of the fifth unit of production?

Price Quantity
25 1
22 2
18 3
15 4
12 5

Group of answer choices

$12

$48

$0

$60

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Answer. (c) 0 dollars

Explanation: Marginal revenue is the change in total revenue gained from current number of units and previous units. Total revenue is price*quantity. To find the marginal revenue of fifth unit, we need to find the difference between fifth total revenue and fourth total revenue. For the fourth unit, total revenue is 15*4 = 60 dollars. For the fifth unit, total revenue is 12*5 = 60 dollars. Hence the total revenue remains the same. Thus marginal revenue is 0 dollars.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Use the demand schedule below to calculate total revenue and marginal revenue at each quantity. Explain...
Use the demand schedule below to calculate total revenue and marginal revenue at each quantity. Explain why the marginal revenue of the fourth unit of output is $3.50, even though its price is $5. Price (P) Quantity Demanded (Q) Price (P) Quantity Demanded (Q) $7.00 0 $4.50 5 6.50 1 4.00 6 6.00 2 3.50 7 5.50 3 3.00 8 5.00 4 2.50 9
Marginal Revenue Product and Demand Units of Variable Factor Total Products 0 0 1 20 2...
Marginal Revenue Product and Demand Units of Variable Factor Total Products 0 0 1 20 2 50 3 90 4 120 5 140 6 150 7 150 8 140 Reference: Ref 12-1 (Exhibit: Marginal Revenue Product and Demand) If the product price is $2 per unit and the price of the factor of production is $1080 per unit, the profit-maximizing quantity of the factor is _______ units. a. 6 b. 2 c. 0 d. 4
Output Total cost Marginal cost Quantity demanded Price Marginal revenue Profit 0 $   50 XXXX 0 $60...
Output Total cost Marginal cost Quantity demanded Price Marginal revenue Profit 0 $   50 XXXX 0 $60 XXXXX $ 1 80 $    1 55 $ 2 120 2 50 3 150 3 45 4 170 4 40 5 185 5 35 6 205 6 30 7 235 7 25 8 275 8 20 9 325 9 15 10 385 10 10 Assume that the short-run cost and demand data given in the table below confronts a monopolistic competitor selling a...
Total revenue equals Group of answer choices the area between the demand curve and the marginal...
Total revenue equals Group of answer choices the area between the demand curve and the marginal revenue curve marginal revenue times quantity sold price times quantity sold total cost minus profit
Quantity (Q) Bottles per day Total Cost (TC) Marginal Cost (MC) (TC/Q) Total Revenue (TR) (P*Q)...
Quantity (Q) Bottles per day Total Cost (TC) Marginal Cost (MC) (TC/Q) Total Revenue (TR) (P*Q) Marginal Revenue (MR) (TR/Q) Economic profit/loss (Loss/Profit) 0 15 - 0 - (-15) 1 22 7 8 8 (-21) 2 27 5 16 8 (-16) 3 30 3 24 8 (-9) 4 32 2 32 8 (-2) 5 33 1 40 8 6 6 34 1 48 8 13 7 36 2 56 8 18 8 40 4 64 8 20 9 44 4...
If a monopolist is producing a quantity where marginal revenue is equal to $16 and the...
If a monopolist is producing a quantity where marginal revenue is equal to $16 and the marginal cost is equal to $12, the monopolist should ________ to maximize profits. Group of answer choices a. continue producing at the current price b. increase production and lower the price c. increase production and increase the price d. decrease production and increase the price
34. When total profit is maximized, marginal profit is equal to zero and marginal revenue is...
34. When total profit is maximized, marginal profit is equal to zero and marginal revenue is equal to marginal cost Group of answer choices True False 35. An increase in supply (only) results in a higher equilibrium price and a higher equilibrium quantity. Group of answer choices True False 36. At prices below the equilibrium price, quantity demanded is larger than quantity supplied, there is a shortage, and there is a pressure for price to increase. Group of answer choices...
The following equations describe the monopolist’s demand, marginal revenue, total cost and marginal cost: Demand: Qd...
The following equations describe the monopolist’s demand, marginal revenue, total cost and marginal cost: Demand: Qd = 12 – 0.25P | Marginal Revenue: MR = 48 – 8Q | Total Cost: TC = 2Q^2 | Marginal Cost: MC = 4Q Where Q is quantity and P is the price measured in dollars. a) What is the profit maximizing monopoly’s quantity and price? b) At that point, calculate the price elasticity of demand. What does the value imply? c) Does this...
price quantity marginal revenue $8 0 $7 1 $6 2 $5 3 $4 4 $3 5...
price quantity marginal revenue $8 0 $7 1 $6 2 $5 3 $4 4 $3 5 $2 6 $1 7 a monopolist firm sees the following demand, find the marginal revenue. Here's the same firm cost schedule find the marginal cost and based off of the data in these 2 find the monopolist equilibrium quantity and price. quantity total variable cost marginal cost 1 $5 2 $9 3 $12 4 $14 5 $18 6 $24 7 $32 8 $42
Answer the question based on the demand and cost schedules for a monopolistically competitive firm given...
Answer the question based on the demand and cost schedules for a monopolistically competitive firm given in the table below. Price Quantity Demanded Total Cost Output $30 1 $10 1 27 2 20 2 24 3 29 3 21 4 36 4 15 5 40 5 10 6 42 6 At the profit-maximizing level of output, marginal revenue is Multiple Choice $21. $84. $12. $5.
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT