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If a Firm's Demand Curve Is Negatively (Downward) Sloping and Sales

Question 9

Multiple Choice

If a firm's demand curve is negatively (downward) sloping and sales increase by one unit, marginal revenue will be:


A) increasing, as a result of the increase in sales
B) less than the new lower price
C) equal to the original price
D) less than the new higher price

Correct Answer:

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