Total revenue always increases if price increases.

Name: Total revenue always increases if price increases.
Brand: Quizplus
Rating: 4.8 (38 reviews)

Question

Quizplus · Accepted Answer

Total revenue is the product of price and quantity. It is possible that an increase in price leads to a decrease in quantity sold, resulting in a decrease in total revenue. The relationship between price and total revenue is dependent on price elasticity of demand.

Total Revenue Always Increases If Price Increases