Suppose That a Pure Monopolist Can Sell 20 Units of Output

question 201

Multiple Choice

Suppose that a pure monopolist can sell 20 units of output at $10 per unit and 21 units at $9.75 per unit. The marginal revenue of the 21st unit of output is

• A)$9.75.
• B)$204.75
• C)$4.75.
• D)$0.25.

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