For a linear demand curve, if MR = 0:
A) TR is at its minimum.
B) the price elasticity of demand is equal to or greater than -1.0.
C) and TR is at its maximum, the demand curve must be downward sloping.
D) all of the above are true.

Question

Quizplus · Accepted Answer

When MR = 0, total revenue (TR) is at its maximum, and the demand curve is downward sloping, indicating unitary elasticity at that point.

For a Linear Demand Curve, If MR = 0