2465EconomicsMedium
Suppose we know that a monopolist is maximizing its profits. Which of the following is a correct inference? the monopolist has?
Amaximized its total revenue
Bequated marginal revenue and marginal cost
Cset price equal to its average cost
Dmaximized the difference between marginal revenue and marginal cost.
Correct answer
B. equated marginal revenue and marginal cost
Explanation
The correct answer is equated marginal revenue and marginal cost.