The above table shows the quantity demanded at varying prices and the corresponding marginal cost of production for a mon firm.
-Refer to the table above. What is the marginal revenue of producing the 30th unit of output?

Question

Quizplus · Accepted Answer

To find marginal revenue, we need to find the change in total revenue from producing and selling the 30th unit. From the table, we see that at a quantity of 29, the price is $400 and the quantity demanded is 190. At a quantity of 30, the price decreases to $390 and the quantity demanded increases to 180.

Thus, the change in revenue from producing the 30th unit is:
(30 units x $390 per unit) - (29 units x $400 per unit) = $11,700 - $11,600 = $100

Therefore, the marginal revenue of producing the 30th unit is $100.

Only choice D is correct, because it gives the correct answer and explains the process.

The Above Table Shows the Quantity Demanded at Varying Prices