Question

For a monopoly, the level of output at which marginal revenue equals zero is also the level of output at whicha.total revenue is maximized.b.profit is maximized.c.marginal cost is zero.d.average revenue is zero.

Answer 1

a.total revenue is maximized

Step-by-step explanation:

Marginal revenue refers to the change in total revenue. Zero marginal revenue impllies no change in TR. Thus, only when TR is maximized will MR be zero before falling.