For a single competitive firm, marginal revenue is equivalent to
A)marginal product.
B)marginal cost.
C)total revenue.
D)output price.
E)the sum of all input prices.

Question

Quizplus · Accepted Answer

Marginal revenue for a single competitive firm is equal to the output price, as each unit sold adds the same amount to total revenue. Marginal product and marginal cost relate to the production process, while total revenue is the total amount earned from selling all units of output. The sum of all input prices is not relevant to determining marginal revenue.

For a Single Competitive Firm, Marginal Revenue Is Equivalent to