A grocery store sells a bag of potatoes at a fixed price of $5.50.Which of the following is a term used by economists to describe the money received from the sale of an additional bag of potatoes?
A)marginal revenue
B)gross earnings
C)pure profit
D)marginal costs
E)net benefit

Question

Quizplus · Accepted Answer

Marginal revenue is the term used by economists to describe the money received from the sale of an additional unit (in this case, an additional bag) of a product. It is important in determining the profit-maximizing level of production and sales.

A Grocery Store Sells a Bag of Potatoes at a Fixed