Use the following to answer questions below:

-Refer to the graph of demand and marginal revenue. If a profit-maximizing monopolist with a constant unit cost equal to $20 faces the demand curve plotted in the graph, then what will the monopolist's total revenue and the profit be?
A) Total revenue: $80, profit=$40.
B) Total revenue: $160, profit=$80.
C) Total revenue: $160, profit=$120.
D) Total revenue: $240, profit=$160.
Correct Answer:
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