Suppose when a monopolist produces 75 units its average revenue is $10 per unit, its marginal revenue
Fantastic news! We've Found the answer you've been seeking!
Question:
Suppose when a monopolist produces 75 units its average revenue is $10 per unit, its marginal revenue is $5 per unit, its marginal cost is $6 per unit, and its average total cost is $5 per unit. What can we conclude about this monopolist?
A. The monopolist is not currently maximizing profits; it should produce more units and charge a lower price to maximize profits
B. The monopolist is not currently maximizing profits; it should produce fewer units and charge a higher price to maximize profits
C. The monopolist is currently maximizing profits and its total profits are $375
D. The monopolist is currently maximizing profits and its total profits are $300
Related Book For
Posted Date: