A Monopolistic Firm Has a Sales Schedule Such That It

question 391

Multiple Choice

A monopolistic firm has a sales schedule such that it can sell 10 prefabricated garages per week at $10,000 each, but if it restricts its output to 9 per week it can sell these at $11,000 each. The marginal revenue of the 10th unit of sales per week is

• A)$-1,000.
• B)$9,000.
• C)$1,000.
• D)$10,000.

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