The Following Table Shows the Price and Revenue for a Monopolist

question 9

Multiple Choice

The following table shows the price and revenue for a monopolist at different levels of production.The monopolist incurs no marginal cost of production.

$$\begin{array} { | c | c | c | } \hline \text { Quantity } & \text { Price } & \text { Revenue } \\\hline 2 & 16 & 32 \\\hline 3 & 15 & 45 \\\hline 4 & 14.5 & 58 \\\hline 5 & 11.6 & 58 \\\hline 6 & 9.5 & 57 \\\hline 7 & 8 & 56\\\hline\end{array}$$

-Refer to Table .Calculate the marginal revenue from the third unit.

• A)$39
• B)$11
• C)$19
• D)$9

Know the accounting entries for stock subscriptions and their down payments.

Understand the implications of dividends in arrears on preferred stock.

Grasp the accounting treatments and financial statement impacts of stock splits and stock options (both compensatory and noncompensatory).

Understand the principles of stock appreciation rights (SARs) compensation plans and their measurement and exercise dates.

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Definitions:

Incentives

Refers to stimuli that motivate individuals or entities to perform certain actions or behaviors.

Majority Rule Voting

A voting system in which each member has one vote, and decisions are made by a majority of the votes cast, typically more than half.

Rent-Seeking

The practice of gaining economic benefits through manipulation or exploitation of the political environment rather than through traditional economic competition.

Antitrust Exemption

Legal provisions that allow certain industries or companies to avoid full compliance with antitrust laws, often justified by arguments of national interest or market efficiency.