A monopolist is currently selling 45 units at a price of $10 each.If the monopolist wants to sell 55 units,it has to decrease the price to $8 each.Which of the following is correct?
A) To increase profits,the monopolist should sell 55 units
B) To increase profits,the monopolist should sell more than 55 units
C) The price decrease leads to an increase in total revenue
D) Because the demand is elastic,total revenue is decreasing
E) Because the demand is inelastic,total revenue is decreasing
Correct Answer:
Verified
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