EBK INTERMEDIATE MICROECONOMICS AND ITS
EBK INTERMEDIATE MICROECONOMICS AND ITS
12th Edition
ISBN: 9781305176386
Author: Snyder
Publisher: YUZU
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Chapter 8, Problem 8.3P

A

To determine

Demonstrate that the horizontal intercept of the marginal revenue curve is precisely half of the value of the horizontal intercept of the demand curve.

B

To determine

Explain with reasons as to the intercept shown in part A, showing the quantity where the total revenue is maximized that is available on the demand curve.

C

To determine

State the reasons for the price elasticity of demand being -1, at the current level of output.

D

To determine

Comment on the conclusions derived from parts A to C, using the curve form q=96-2P.

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