The Following Table Shows the Price and Revenue for a Monopolist

question 64

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 .Identify the profit maximizing production level for this monopolist.

• A)2 units
• B)3 units
• C)4 units
• D)5 units

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Definitions:

Assembly Lines

A manufacturing process in which parts are added to a product in a sequential manner to create a finished product efficiently.

Quality

The degree of excellence of something, often measured against a standard.

Total Quality Management

A management approach focused on continuous improvement and customer satisfaction by integrating all organizational functions.

Core Value

Fundamental beliefs or principles that are central to an organization's identity and guide its practices.