please explain the answer: Total revenue for producing 78 units of output is $6,

Question

please explain the answer: Total revenue for producing 78 units of output is $6,478. Total revenue for producing 79 units of output is $6,500. Given this information, the

Question 14 options:

average revenue for producing 79 units is $22.

average revenue for producing 79 units is $6,500.

marginal revenue for producing the 79th unit is $22.

marginal revenue for producing the 79th unit is $6,500.

A)

average revenue for producing 79 units is $22.

B)

average revenue for producing 79 units is $6,500.

C)

marginal revenue for producing the 79th unit is $22.

D)

marginal revenue for producing the 79th unit is $6,500.

Explanation / Answer

The correct answer is: c) marginal revenue for producing the 79th unit is $22

Reason: Marginal Revenue is the change in total revenue due to a unit change in output. As output is increased from 78 units to 79 units, the total revenue increases from 6478 to 6500.

Thus, Marginal Revenue = 6500-6478 = $22.

Thanks!

Related Questions

Navigate

• Browse (All)
• Browse P
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.