Question

Marginal revenue:

A. is the change in total revenues resulting from a change in output.
B. cannot be effectively utilized when analyzing the perfect competitor.
C. is a change in revenue that is immeasurable and non-quantifiable.
D. cannot be used to determine the profit-maximizing rate of production.

Answer 1

Answer:

A. is the change in total revenues resulting from a change in output.

Explanation:

• The marginal revenue is the additional revenue that can be generated by the addition of the sales of one more unit and by selling those additional units of the gods that will lead to change in the output and increase in the demand values of the product and services. And is equal to the price the company charges form the buyers.