A perfectly competitive firm is producing 50 units of output,which it sells at the market price of $23 per unit.The firm's average total cost is $20.What is the firm's total revenue?
A) $23
B) $150
C) $1,000
D) $1,150
E) $20

Question

Quizplus · Accepted Answer

The firm's total revenue is calculated by multiplying the market price by the quantity of output, so Total Revenue = Price x Quantity = ($23 per unit) x (50 units) = $1,150.

A Perfectly Competitive Firm Is Producing 50 Units of Output,which