If a Monopolist Can Perfectly Price Discriminate, Then

question 487

Multiple Choice

If a monopolist can perfectly price discriminate, then

• A) price equals average cost for each unit sold.
• B) price equals marginal cost for each unit sold.
• C) price equals marginal cost for the last unit sold.
• D) the firm can ignore the marginal cost curve.

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Definitions:

Net Income

The ultimate financial gain of a company after expenses and taxes are deducted from its total revenue.

Net Working Capital

A measure of a business's short-term financial performance, shown by the balance between its current assets and liabilities.

Net Working Capital

The difference between a company's current assets and its current liabilities, indicating the liquidity and operational efficiency.