1.

Define marginal revenue. State the relation between marginal revenue and average revenue when a firm : (i) is able to sell more quantity of output at the same price. (ii) is able to sell more quantity of output only by lowering the price.

Answer»

Define marginal revenue. State the relation between marginal revenue and average revenue when a firm :

(i) is able to sell more quantity of output at the same price.

(ii) is able to sell more quantity of output only by lowering the price.



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