Question 5 1 point The graph below shows the demand D margin

Question 5 (1 point) The graph below shows the demand (D), marginal revenue (MR), average total cost (ATC), and marginal cost (MC) for a monopolist. Price 540 535 5 30 525 520 $15 510 MC ATC MR 10 20 30 40 50 60 70 80 90 100 Quantity

Solution

5)

Equilibrium condition in monopolist competition

MR = MC

MR and MC are equal where output is 40 units and Price is $ 20

Hence , Right answer is $ 20