Exhibit 10-9
-Refer to Exhibit 10-9. The difference between marginal benefit and marginal cost for the profit-maximizing monopoly is
A)A - F.
B)B- G.
C)D - F.
D)E - G.
E)zero.

Question

Exhibit 10-9 
-Refer to Exhibit 10-9. The difference between marginal benefit and marginal cost for the profit-maximizing monopoly is
A)A - F. 
B)B- G. 
C)D - F. 
D)E - G. 
E)zero.

Quizplus · Accepted Answer

The profit-maximizing monopoly will produce at the output level where marginal benefit equals marginal cost. At this output level, the difference between marginal benefit and marginal cost is zero.

Exhibit 10-9 -Refer to Exhibit 10-9. the Difference Between Marginal Benefit and Marginal