The marginal revenue received from selling one more unit of output less the cost of raw materials and intermediate products required for it is equal to the:
A) marginal revenue product of input "a"
B) marginal product of input "a"
C) net marginal revenue of input "a"
D) marginal cost of input "a"
E) net marginal cost of input "a"

Question

Quizplus · Accepted Answer

The correct answer is C) net marginal revenue of input "a" because it represents the additional revenue generated from selling one more unit of output minus the cost of the raw materials and intermediate products needed for that unit, which aligns with the definition of net marginal revenue.

The Marginal Revenue Received from Selling One More Unit of Output