A monopolist is able to maximise his profits when ____________.

his outputs is maximum.

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he charges a high price.

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his average cost is minimum.

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his marginal cost is equal to marginal revenue.

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Solution

The correct option is D his marginal cost is equal to marginal revenue.
In a monopolistic market, the products are close substitutes of each other due to which a monopolist is only able to maximize it's profit when the marginal cost of the firm is equal to marginal revenue of the firm.

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A monopolist is able to maximise his profits when ____________.

The correct option is D his marginal cost is equal to marginal revenue.In a monopolistic market, the products are close substitutes of each other due to which a monopolist is only able to maximize it's profit when the marginal cost of the firm is equal to marginal revenue of the firm.

The correct option is D his marginal cost is equal to marginal revenue.
In a monopolistic market, the products are close substitutes of each other due to which a monopolist is only able to maximize it's profit when the marginal cost of the firm is equal to marginal revenue of the firm.