Refer to the following graph. The additional profit that might be achieved by monitoring a lazy monopolist with ATC (X-inefficient) is equal to the area of rectangle:
A) A minus the cost of monitoring.
B) B minus the cost of monitoring.
C) A plus rectangle B minus the cost of monitoring.
D) A minus rectangle B minus the cost of monitoring.

Question

Refer to the following graph.  The additional profit that might be achieved by monitoring a lazy monopolist with ATC (X-inefficient) is equal to the area of rectangle:
A) A minus the cost of monitoring. 
B) B minus the cost of monitoring. 
C) A plus rectangle B minus the cost of monitoring. 
D) A minus rectangle B minus the cost of monitoring.

Quizplus · Accepted Answer

The Answer of Refer to the following graph.  The additional profit that might be achieved by monitoring a lazy monopolist with ATC (X-inefficient) is equal to the area of rectangle:
A) A minus the cost of monitoring. 
B) B minus the cost of monitoring. 
C) A plus rectangle B minus the cost of monitoring. 
D) A minus rectangle B minus the cost of monitoring.

Refer to the Following Graph