(Figure: Short-Run Monopoly) Use Figure: Short-Run Monopoly.The profit-maximizing quantity of output is quantity:

A) Q.
B) R.
C) S.
D) T.

Question

(Figure: Short-Run Monopoly) Use Figure: Short-Run Monopoly.The profit-maximizing quantity of output is quantity:A) Q.B) R.C) S.D) T.

Ariana Irizarry · Accepted Answer

Final Answer : B, Explanation :  The profit-maximizing quantity of output is where marginal revenue equals marginal cost, which is at point R in the graph. At this point, the monopolist will charge a price of P and produce a quantity of Q. At any other point, the monopolist would either be producing too much or too little output, resulting in lower profits.

(Figure: Short-Run Monopoly) Use Figure: Short-Run Monopoly.The profit-maximizing quantity of output is quantity:

A) Q.
B) R.
C) S.
D) T.

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