A monopolist can sell 10 wangdoodles if he charges $10 per wangdoodle and 11 wangdoodles if he charges $9.The MR from selling the 11th wangdoodle is
A)−$1.
B)$1.
C)$9.
D)$99.

Question

Quizplus · Accepted Answer

The marginal revenue (MR) is the change in total revenue from selling one more unit. Selling 10 at $10 gives $100, and selling 11 at $9 gives $99. The MR from the 11th unit is $99 - $100 = -$1.

A Monopolist Can Sell 10 Wangdoodles If He Charges $10