Demand Schedule Facing a
Perfectly Price Discriminating Firm

-Using the demand schedule in the table above, the total revenue a perfectly price discriminating monopolist receives from selling 5 units of output is
A) $5.
B) $15.
C) $18.
D) $25.

Question

Demand Schedule Facing a
Perfectly Price Discriminating Firm
 
-Using the demand schedule in the table above, the total revenue a perfectly price discriminating monopolist receives from selling 5 units of output is
A) $5. 
B) $15. 
C) $18. 
D) $25.

Quizplus · Accepted Answer

A perfectly price discriminating monopolist charges each consumer the maximum price they are willing to pay for each unit. Therefore, the total revenue from selling 5 units is the sum of the prices for each of those units.