Firestone notices that when the number of tires it sells increases from 1,000,000 to 1,000,001, total revenue rises $35. The $35 represents the firm's
A)average revenue.
B)marginal revenue.
C)price elasticity.
D)average variable revenue.
E)average total cost.

Question

Quizplus · Accepted Answer

The $35 increase in total revenue when the firm sells one additional tire indicates the marginal revenue.

Firestone Notices That When the Number of Tires It Sells