-In the above figure, at the firm's profit maximizing output, total revenue is rectangle
A) 0P1AQ1.
B) 0P3FQ3.
C) 0P5EQ5.
D) 0P2BQ1.

Name: -In the above figure, at the firm's profit maximizing output, total revenue is rectangle A) 0P1AQ1. B) 0P3FQ3. C) 0P5EQ5. D) 0P2BQ1.
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Question

-In the above figure, at the firm's profit maximizing output, total revenue is rectangle
A) 0P1AQ1. 
B) 0P3FQ3. 
C) 0P5EQ5. 
D) 0P2BQ1.

Quizplus · Accepted Answer

Total revenue is maximized when marginal revenue is equal to marginal cost. At this point, the firm is producing at output Q1 and the total revenue is given by the rectangle 0P1AQ1.

-In the Above Figure, at the Firm's Profit Maximizing Output