Table 14-3
The table represents a demand curve faced by a firm in a competitive market.
-Refer to Table 14-3. For this firm, the average revenue is
A)$39.
B)$26.
C)$13.
D)$0.

Question

Table 14-3
The table represents a demand curve faced by a firm in a competitive market. 
-Refer to Table 14-3. For this firm, the average revenue is
A)$39. 
B)$26. 
C)$13. 
D)$0.

Quizplus · Accepted Answer

Average revenue is calculated by dividing total revenue by the quantity sold. In a perfectly competitive market, average revenue equals the price of the good, which is $13 in this case.

Table 14-3 The Table Represents a Demand Curve Faced by a Firm