Asked by Nikita Malik on Sep 23, 2024
Verified
Jim's Burgers produces 500 burgers per week.He can sell as many burgers as he can cook for $3.What is the marginal revenue from selling the 50th burger?
A) $3
B) $150
C) $147
D) It cannot be determined with the information given
Marginal Revenue
The extra revenue earned by selling an additional unit of a product or service.
- Evaluate marginal revenue and discern its importance in the formulation of pricing and production decisions.
Verified Answer
RC
Rosie Canning3 days ago
Final Answer :
A
Explanation :
Marginal revenue is the additional revenue that is generated by selling one more unit of a product. Since Jim can sell each burger for $3, the marginal revenue from selling the 50th burger (or any burger, for that matter) is $3.
Learning Objectives
- Evaluate marginal revenue and discern its importance in the formulation of pricing and production decisions.