The MR values at different price levels are given below- At what price is the revenue maximized- begin array - c - c - Whine Price Rs - MR Whline 8 - 10 Whline7 - 7-5 Illhline6 - 4 illhline 5 - 0 Illhline4 -2 Whline 3 -5 Whline2 -8 Whline e n d a r r a y At what price is the total revenue maximized-A- Rs 8B- Rs 6C- Rs 5D- Rs 4

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Byju's Answer

Standard XI

Economics

Relationship between the TR, MR and Demand Curves

The MR values...

Question

The MR values at different price levels are given below. At what price is the revenue maximized?

$\begin{matrix} P r i c e (R s) & M R 8 & 10 7 & 7.5 6 & 4 5 & 0 4 & - 2 3 & - 5 2 & - 8 \end{matrix}$

At what price is the total revenue maximized?

Rs 8

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Rs 6

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Rs 5

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Rs 4

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Solution

The correct option is C
Rs 5

When the total revenue is maximum, marginal revenue is 0. Hence, TR is maximized at a price of Rs 5 corresponding to MR=0.

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The MR values at different price levels are given below. At what price is the revenue maximized? Price (Rs)MR81077.564504−23−52−8 At what price is the total revenue maximized?

The correct option is C Rs 5 When the total revenue is maximum, marginal revenue is 0. Hence, TR is maximized at a price of Rs 5 corresponding to MR=0.

The MR values at different price levels are given below. At what price is the revenue maximized?

$\begin{matrix} P r i c e (R s) & M R 8 & 10 7 & 7.5 6 & 4 5 & 0 4 & - 2 3 & - 5 2 & - 8 \end{matrix}$

At what price is the total revenue maximized?

The correct option is C
Rs 5

When the total revenue is maximum, marginal revenue is 0. Hence, TR is maximized at a price of Rs 5 corresponding to MR=0.