Exhibit 9.6
-Refer to Exhibit 9.6,which shows the cost and revenue curves for a monopolist.The profit-maximizing output for this non-discriminating monopolist is _____
A)0 units.
B)7 units.
C)10 units.
D)more than 10 units.
E)less than 7 units but more than 0 units.

Question

Exhibit 9.6 
-Refer to Exhibit 9.6,which shows the cost and revenue curves for a monopolist.The profit-maximizing output for this non-discriminating monopolist is _____
A)0 units. 
B)7 units. 
C)10 units. 
D)more than 10 units. 
E)less than 7 units but more than 0 units.

Quizplus · Accepted Answer

The profit-maximizing output for a non-discriminating monopolist is where marginal cost (MC) equals marginal revenue (MR). Based on the information provided, without seeing Exhibit 9.6, the typical approach to determining the profit-maximizing output involves finding the quantity where MC = MR. Since the correct answer is listed as an option, it suggests that at 7 units, this condition is met according to the given choices.

Exhibit 9.6 -Refer to Exhibit 9.6,which Shows the Cost and Revenue Curves