Question:
The profit maximizing output level for a monopolist is
| A. |
the output level where price elasticity of demand is −1 and total revenue is maximized |
B. |
the output level where price elasticity of demand is +1 and total revenue is maximized |
C. |
the output level where marginal revenue equals marginal cost |
D. |
where the difference between price and average total cost is the largest |
Answer» c. the output level where marginal revenue equals marginal cost |
| Note: |
The above multiple-choice question is for all general and Competitive Exams in India. |
