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How do you calculate marginal revenue cost by math and graphically and marginal in general?
Profit=Total revenue - Total cost
Is -5 marginal revenue positive negative or zero?
A wild guess is that it is negative.
If marginal revenue is zero total revenue remains unchanged?
Yes. This is because when MR is at 0, TR is at is maximum. Generally firms produce at MR=MC, therefore if MR < 0, then MC > MR and firms will not produce at the this point. And so when MR = 0, this will be the total level of revenue achieved, and so total revenue remains unchanged
How do you find the markup of 50 percent a 200 dollar suit?
Calculate the marginal cost of producing the suit. In an ideal, competitive world, the marginal cost = price, so this will be our base. Then you simply find 200 - marginal cost and this provides you the markup.
Application of calculus to business decision process?
Microeconomics, which determines much of the business decision process, looks to the margin for much of its data. What is the marginal cost of producing one more piece of output? What is the marginal cost of hiring one more employee? What is the marginal benefit of opening another store? In other words, the business decision process is not concerned with the total cost of producing all its units as much as producing just one more. In this sense, the margin is the derivative of the total cost. When the marginal benefit of something is greater than the marginal cost, the action will be followed. If the marginal cost is greater, it will not be. A company will produce more output until marginal benefit is equal to marginal cost. To maximize profits, the decisions of a company need to be made based upon this knowledge and some very complex calculus to find just want marginal costs and benefits of any given action are.
What is the distinction between marginal revenue product and marginal revenue?
I'm thinking that marginal revenue product is the marginal revenue on one product, and marginal revenue is the marginal revenue on the whole firm sales... I'm wondering the same thing but the above response is incorrect. both terms imply values on one item as indicated by the "marginal"
How does a monopolistically competitive firm determine its profit-maximizing price?
price = marginal revenue. marginal revenue > average revenue. price > marginal cost. total revenue > marginal co
A company is maximizing profit when marginal revenue?
A company maximizes profits when marginal revenue equals marginal costs.
Marginal revenue curve?
Explain why the marginal revenue(MR) is always less than the average revenue (AR)?
What is the formula to find the marginal cost?
Marginal Cost = Marginal Revenue, or the derivative of the Total Revenue, which is price x quantity.
A monopolist will set its production at a level where marginal cost is equal to?
A monopolist will set production at a level where marginal cost is equal to marginal revenue.
Why do the demand and marginal revenue curves coincide?
Because in Pure Competition, Demand equals Price, and Price equals Marginal Revenue;hence, Demand equals Marginal revenue.
Marginal revenue equals?
marginal cost of production
What is the meaning of average revenue and marginal revenue?
what is average revenue?
Profits will be maximized when marginal revenue?
Profits will be maximized when marginal revenue is equal to marginal costs. This will only happen in cases where there are fixed costs.
The revenue received from the sale of an additional unit of a product is called what?
The marginal benefit to the firm
What is marginal revenue product?
Marginal revenue product is the additional profit a firm gains when it hires an additional worker.
