Kate's Great Crete (KGC) is a local monopolist of ready-mix concrete. Its annual demand function is , where P is the price, in dollars, of a cubic yard of concrete and Q is the number of cubic yards sold per year. What is KGC's marginal revenue when it sells 5,000 cubic years of concrete per year?
A) $37.5
B) $25
C) $50
D) $0

Question

Kate's Great Crete (KGC) is a local monopolist of ready-mix concrete. Its annual demand function is  , where P is the price, in dollars, of a cubic yard of concrete and Q is the number of cubic yards sold per year. What is KGC's marginal revenue when it sells 5,000 cubic years of concrete per year?
A) $37.5 
B) $25 
C) $50 
D) $0

Quizplus · Accepted Answer

The Answer is B

Kate's Great Crete (KGC) Is a Local Monopolist of Ready-Mix