Exhibit 15.2 -Refer to Exhibit 15.2,which Shows the Cost and Revenue Curves

Exhibit 15.2

-Refer to Exhibit 15.2,which shows the cost and revenue curves for a natural monopolist.Suppose the monopolist was originally producing at a profit-maximizing output level.If regulators set price equal to marginal cost,the price will change from _____

A) $24 to $18, and quantity will increase from 5 units to 8 units.
B) $14 to $20, and quantity will increase from 5 units to 8 units.
C) $24 to $18, and quantity will remain unchanged.
D) $18 to $14, and quantity will increase from 5 units to 8 units.
E) $24 to $22, and quantity will increase from 5 units to 10 units.