(Figure: Revenue Schedule) Demand and Marginal Schedule
in the Figure

question 37

Multiple Choice

(Figure: Revenue Schedule) Demand and Marginal Schedule
In the figure, marginal revenue is decreasing while total revenue is increasing. This indicates that the demand curve is _____ sloping and the marginal revenue curve is _____ the demand curve.
$\begin{array}{|l|l|l|}\hline \text { Price } & \text { Quantity } & \begin{array}{l}\text { Total } \\\text { Revenue }\end{array} \\\hline \$ 9 & 0 & 0 \\\hline 8 & 1 & \$ 8 \\\hline 7 & 2 & 14 \\\hline 6 & 3 & 18 \\\hline 5 & 4 & 20 \\\hline\end{array}$

• A) downward; above
• B) upward; above
• C) downward; below
• D) upward; below

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Definitions:

Faculty Level Costs

The expenses associated with employing teaching and academic staff at educational institutions.

Level of Fixed Costs

The total amount of costs that do not vary with production volume, such as rent, salaries, and insurance.

Level of Risk

A measure of the uncertainty associated with an investment or decision, often evaluated in terms of the variability of returns or potential for loss.

Break-Even Point

The point at which total costs and total revenue are equal, meaning no net loss or gain, and the business is just covering all its expenses.