The Firm Will Charge a Price of $34 Per Pair

The firm will charge a price of $34 per pair of jeans.​The following graph shows a firm producing jeans in a monopolistically competitive market. The firm faces a downward-sloping, linear demand curve, D. The marginal revenue curve of the firm is shown by MR. AC and MC are the average total cost and marginal cost curves of the firm. Which of the following is likely to true of the firm at the profit-maximizing point?Figure 9.3: ​

A) The firm will produce 11,000 pairs of jeans each month.
B) The firm will produce 10,000 pairs of jeans each month.
C) The firm will produce 7,000 pairs of jeans each month.
D) The firm will charge a price of $48 per pair of jeans.
E) The firm will charge a price of $34 per pair of jeans.