Question: 6 ) Wendell can sell five motor homes per week at a price of $ 2 2 , 0 0 0 . If he lowers

6) Wendell can sell five motor homes per week at a
price of $22,000. If he lowers the price of motor
homes to $20,000 per week he will sell six motor
homes. What is the marginal revenue of the sixth
motor home?
A) $10,000
B) $12,000
C) $20,000
D) $22,000
27) If a monopolist's price is $50 at 63 units of output
and average total cost equals $43, then at this price,
the firm's total profit is
A) $3,150
B) $2,709
C) $441
D) $7
28) Which of the following is true about the demand
for a monopolist versus a firm in pure competition?
A) The demand is horizontal for a monopolist because
price is the set by the market.
B) The demand is downward sloped for a monopolist
because the monopolist can sell more units by
lowering its price.
C) The demand is downward-sloped for pure
competition because firms are price takers, and their
quantity of sales may not affect price.
D) The demand is horizontal for a monopolist because
the monopolist can sell more units by lowering its
price.

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