Exhibit 22-6

Refer to Exhibit 22-6. A perfectly competitive firm operating in the market depicted in graph (1)is producing 311 units of output at the profit-maximizing level. What is the marginal revenue of the 312th unit?

Question

Exhibit 22-6 ​

Refer to Exhibit 22-6. A perfectly competitive firm operating in the market depicted in graph (1)is producing 311 units of output at the profit-maximizing level. What is the marginal revenue of the 312th unit?

Quizplus · Accepted Answer

At the profit-maximizing level, the firm produces where marginal cost equals marginal revenue, which is at a quantity of 311 in this case. The marginal revenue of the 312th unit would be $10, which is the same as the marginal revenue of all units produced at and before the profit-maximizing quantity. Therefore, the answer is C.

Exhibit 22-6 ​ Refer to Exhibit 22-6. a Perfectly Competitive Firm Operating in Competitive

Exhibit 22-6 Refer to Exhibit 22-6. a Perfectly Competitive Firm Operating in Competitive