Relationship between the TR, MR and Demand Curves

Q.

Which of the following is the slope of the TR curve?

1. MR

2. AR

3. MC

4. Price

Q.

For a monopoly firm, if the profit-maximizing output level is Q and revenue-maximizing output level is R, then

1. Q=R

2. Q<R

3. Q>R

4. Any of these can be true, depending on the context.

Q.

Choose the correct option(s).

1. TR decreases when MR is positive

2. TR increases when MR is positive

3. TR is maximum when MR is zero.

4. TR is minimum when MR is zero.

Q.

A monopoly firm sells 20 units of a good at a price of Rs 7. What is the average revenue?

1. 3.5

2. 7

3. 10.5

4. 14

Q.

When the total revenue is maximum, the marginal revenue is ___

Q.

If the slope of the demand curve is 6, what is the slope of the MR curve?

1. 4

2. 6

3. 3

4. 12

Q.

The TR curve of a monopoly firm is given by the equation
$TR=-q^2+12q-20$, where TR is in millions of dollars.

What is the maximum revenue of the firm?

1. $ 12 million

2. $ 16 million

3. $ 20 million

4. $ 36 million

Q.

For a monopoly firm, MR = 50 -5q. At what output level is the TR maximum?

1. 5

2. 10

3. 20

4. 50

Q.

The TR curve of a monopoly firm is given by the equation
$TR=-q^2+12q-20$, where TR is in millions of dollars

At what level of output is the revenue maximized?

1. 6

2. 8

3. 12

4. 18

Q.

For a monopoly firm, which of the following is equal to market price?

1. MR

2. MC

3. AR

4. TR