Question

Explain the relation between MR and AR.​

Answer 1

Explanation:

A firm can sell more quantity of output at the same price (see Table 7.2). It means, the revenue from every additional unit (MR) is equal to AR. ... Always remember that when a firm is able to sell more output at the same price, then AR = MR at all levels of output.

Answer 2

Answer:

A firm can sell more quantity of output at the same price (see Table 7.2). It means, the revenue from every additional unit (MR) is equal to AR. ... Always remember that when a firm is able to sell more output at the same price, then AR = MR at all levels of output.

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