Give relation between TR and MR when price falls with rise in output (ii) AR and MR when price falls with rise in output.

Give relation between TR and MR when price falls with rise in output

1.	Give relation between TR and MR when price falls with rise in output (ii) AR and MR when price falls with rise in output.
Answer» Solution :(i) When MR is FALLING positively, TR increases but at a decreasing rate. When TR is maximum and constant, MR is equal to zero. When TR starts falling, MR becomes negative. (ii) AR falls when MR `lt` AR. MR curve is steeper than the AR curve. MR can FALL to zero but AR is always POSITIVE.