The following figure shows the marginal cost curve,average total cost curve,average variable cost curve,and marginal revenue curve for a firm for different levels of output.
Figure 9-3
-Refer to Figure 9-3.If the market price is $10,average revenue _____.
A)is greater than $10
B)is less than $10
C)equals $10
D)is equal to $10 - GZ

Question

The following figure shows the marginal cost curve,average total cost curve,average variable cost curve,and marginal revenue curve for a firm for different levels of output.
Figure 9-3 
-Refer to Figure 9-3.If the market price is $10,average revenue _____.
A)is greater than $10 
B)is less than $10 
C)equals $10 
D)is equal to $10 - GZ

Quizplus · Accepted Answer

Average revenue equals price when the demand curve is linear.

The Following Figure Shows the Marginal Cost Curve,average Total Cost