If a Local Diner Can Sell 50 Burgers Per Day

question 43

Multiple Choice

If a local diner can sell 50 burgers per day at a price of $5 each,but must reduce the menu price to $4.95 to sell one more burger,what is the marginal revenue of the 51^st burger?

• A) -$0.05.
• B) $2.45.
• C) $4.95.
• D) $252.45.

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Definitions:

Products/Services

The offerings provided by businesses to meet the needs or wants of consumers, encompassing both physical goods and intangible services.

Firm's Location

The geographical placement of a business's operations, which can significantly impact its accessibility, costs, and market reach.

Mission Statement

A formal summary of the aims and values of a company, organization, or individual, often guiding its goals, strategies, and decision-making processes.

Corporate Philosophy

Represents the fundamental beliefs, ethics, and values that serve as the foundation for a company's culture and business practices.