Which of the Following Statements Is Correct for a Monopolist

question 45

Multiple Choice

Which of the following statements is correct for a monopolist? i) The firm maximizes profits by equating marginal revenue with marginal cost.
Ii) The firm maximizes profits by equating price with marginal cost.
Iii) Demand equals marginal revenue.
Iv) Average revenue equals price.

• A) i), iii), and iv) only
• B) i) and iv) only
• C) i), ii), and iv) only
• D) i), ii), iii), and iv)

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Definitions:

Strongest Relationship

In statistics and research, the most significant and consistent association between two variables.

Variables

Elements, features, or factors that are liable to vary or change within a study or experiment.

Age

The length of time that a person or thing has existed; a particular stage in someone's life.

Amount of Hair

A characteristic referring to the density, thickness, and overall quantity of hair on an individual's body or head.