Use the figure below to answer the following questions.

Figure 13.2.2
-Refer to Figure 13.2.2.If the single-price monopoly shown in Figure 13.2.2 is maximizing profit,what is total economic profit?
A)$3
B)$4
C)$6
D)$9
E)None of the above.

Question

Use the figure below to answer the following questions.
  
Figure 13.2.2
-Refer to Figure 13.2.2.If the single-price monopoly shown in Figure 13.2.2 is maximizing profit,what is total economic profit?
A)$3 
B)$4 
C)$6 
D)$9 
E)None of the above.

Quizplus · Accepted Answer

The total economic profit is calculated as the difference between total revenue and total cost. In a single-price monopoly maximizing profit, the price is set where marginal cost equals marginal revenue. The figure would show the price, quantity, and cost, allowing for the calculation of profit. Based on the given options, $6 is the correct total economic profit.

Use the Figure Below to Answer the Following Questions