Downward sloping demand curve-marginal revenue is always

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Reference no: EM13805014

Suppose a monopolist producing self-cleaning jackets can sell 20 jackets at $100, and 21 jackets at $98. The monopolist is unable to price discriminate, so in order to sell a total of 21 jackets, the price per jacket must be $98.

1-When charging $100 per jacket, total revenue is?

2-When charging $98 per jacket, total revenue is?

3-So the marginal revenue of selling the 21st jacket is?

4-In the case of any firm facing a downward sloping demand curve, marginal revenue is always?

Reference no: EM13805014

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