Your food-services company has been named as the monopoly provider of meals at a small university.The cost and demand schedules are:
TABLE 10-2
-Refer to Table 10-2.Assuming the firm is a single-price monopolist,the marginal revenue between 100 and 200 meals per day is

Question

Your food-services company has been named as the monopoly provider of meals at a small university.The cost and demand schedules are:
  TABLE 10-2
-Refer to Table 10-2.Assuming the firm is a single-price monopolist,the marginal revenue between 100 and 200 meals per day is

Quizplus · Accepted Answer

The marginal revenue is calculated as the change in total revenue divided by the change in quantity. If the price decreases as quantity increases, the marginal revenue will be less than the price.

Your Food-Services Company Has Been Named as the Monopoly Provider