A profit-maximizing monopolist supplies the quantity at which _____
A)average revenue exceeds average cost by the greatest amount.
B)marginal revenue exceeds marginal cost by the smallest amount.
C)marginal revenue exceeds marginal cost by the greatest amount.
D)total revenue exceeds total cost by the greatest amount.
E)total revenue exceeds total cost by the smallest amount.

Question

Quizplus · Accepted Answer

A profit-maximizing monopolist determines the quantity to supply at the point where the difference between total revenue and total cost is maximized, which corresponds to the largest profit.

A Profit-Maximizing Monopolist Supplies the Quantity at Which _____