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Suppose a Monopoly Concrete Contractor Builds 20 Driveways Per Month

Question 35

Multiple Choice

Suppose a monopoly concrete contractor builds 20 driveways per month for $10,000 each.In order to increase sales to 21 driveways,the contractor must lower the price of driveways to $9,500.The marginal revenue of the 21st driveway is


A) $500.
B) $199,500.
C) -$500.
D) $9,500.

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