Suppose a monopolist faces the following demand curve. If the monopolist were to sell 20 units of output, its total revenue would be:
A)$50.
B)$100.
C)$140.
D)$1,000.

Name: Suppose a monopolist faces the following demand curve. If the monopolist were to sell 20 units of output, its total revenue would be: A)$50. B)$100. C)$140. D)$1,000.
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Question

Suppose a monopolist faces the following demand curve.  If the monopolist were to sell 20 units of output, its total revenue would be:
A)$50. 
B)$100. 
C)$140. 
D)$1,000.

Quizplus · Accepted Answer

If the monopolist sells 20 units of output, then it can charge $50 per unit. Thus, its total revenue will be $1,000 (= 20 × $50).

Suppose a Monopolist Faces the Following Demand Curve