Question

When total revenue is maximum, marginal revenue is also marginal.
A) all the time
B) sometimes
C) never
D)when price is not given

Answer 1

Answer:

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Explanation:

At the point of maximum total revenue m the slope of the total revenue curve is zero and the marginal revenue is therefore also zero. The marginal revenue curve thus crosses the horizontal axis at the quantity at which the total revenue is maximum.