The table given below reports the marginal revenue and marginal cost of Holmes Detective Agency for each client.Table 9.2

-Which of the following is true of marginal revenue?
A)Marginal revenue equals total revenue divided by quantity.
B)Marginal revenue is the slope of the supply curve of a firm.
C)Marginal revenue is the slope of the total cost curve when profit is maximized.
D)Marginal revenue equals the change in total revenue due to an additional unit of output.
E)Marginal revenue equals the income earned by selling stocks on the margin.

Question

The table given below reports the marginal revenue and marginal cost of Holmes Detective Agency for each client.Table 9.2
 
-Which of the following is true of marginal revenue?
A)Marginal revenue equals total revenue divided by quantity. 
B)Marginal revenue is the slope of the supply curve of a firm. 
C)Marginal revenue is the slope of the total cost curve when profit is maximized. 
D)Marginal revenue equals the change in total revenue due to an additional unit of output. 
E)Marginal revenue equals the income earned by selling stocks on the margin.

Quizplus · Accepted Answer

Marginal revenue is the change in total revenue due to an additional unit of output. It is calculated by dividing the change in total revenue by the change in quantity.

The Table Given Below Reports the Marginal Revenue and Marginal