I am having trouble with these because of the perfect price

I am having trouble with these because of the perfect price discrimination so Total Revenue does not equal Price times quantity in this case.

Dreher\'s Designer Shirt Company, a monopolist, has the following cost and revenue information Assume that Dreher\'s is able to engage in perfect price discrimination COSTS REVENUES Marginal Revenue Revenue QuantityTotal Cost MarginalQuantityPrice Total CostDemanded Produced 0 100 140 184 230 280 335 395 475 575 170 160 150 140 130 120 110 100 95 4 4 What is the total revenue when 3 shirts are sold? $140 $420 $450 $620 What is the total revenue when 7 shirts are sold? $650 $700 $910 $1080 What is the average revenue when 5 shirts are sold? $90 $100 $120 $140

Solution

Qty Produce Total Cost MC AC Qty demand Price TR MR 0 100 - - 0 170 0 - 1 140 40 140 1 160 160 160 2 184 44 92 2 150 300 140 3 230 46 76.67 3 140 420 120 4 280 50 70 4 130 520 100 5 335 55 67 5 120 600 80 6 395 60 65.83 6 110 660 60 7 475 80 67.86 7 100 700 40 8 575 100 71.88 8 90 720 20 Req 7: Answer is b. $ 420 Req 8: Answer is b. $ 700. Req 9: Answer is c. $ 120