A firm's total revenue function is given by R = 100 + 10Q + 2Q2,where R = revenue and Q = quantity.Which of the following is true if Q = 10?
A)The firm's total revenue is $400 and the marginal revenue is $10.
B)The firm's marginal revenue is constant at $40.
C)The average revenue of the firm is $50.
D)The total revenue of the firm is $500.
E)The marginal revenue of the firm is $50.

Question

Quizplus · Accepted Answer

The marginal revenue is the derivative of the total revenue function with respect to Q. The derivative is MR = 10 + 4Q. Substituting Q = 10 gives MR = 10 + 4(10) = 50.

A Firm's Total Revenue Function Is Given by R =