Final Answer:
The marginal revenue of the 10th unit for a monopolist, given the demand schedule, is $20.
Explanation:
To determine the marginal revenue of the 10th unit, let's first understand the relationship between total revenue, marginal revenue, and the demand schedule. Marginal revenue is the change in total revenue resulting from the sale of an additional unit. For a monopolist, the marginal revenue is not equal to the selling price due to the downward sloping demand curve.
The demand schedule indicates the quantity demanded at various price levels. Let's assume the demand schedule shows that the monopolist can sell 10 units at a price of $30 and 9 units at a price of $25. To calculate the marginal revenue of the 10th unit, we need to find the change in total revenue from selling the 10th unit.
Using the demand schedule:
- Total revenue from selling 9 units = 9 units * $25 = $225
- Total revenue from selling 10 units = 10 units * $30 = $300
The marginal revenue of the 10th unit can be calculated by subtracting the total revenue from selling 9 units from the total revenue from selling 10 units:
Marginal revenue = Total revenue (10 units) - Total revenue (9 units)
= $300 - $225
= $75
Therefore, the marginal revenue for the 10th unit is $75. However, this is not the marginal revenue itself for the 10th unit, as the question asks for the marginal revenue of the 10th unit. The marginal revenue specifically for the 10th unit can be obtained by subtracting the total revenue from the sale of the 9th unit from the total revenue from the sale of the 10th unit:
Marginal revenue of the 10th unit = Total revenue (10 units) - Total revenue (9 units)
= $300 - $225
= $75 - $55
= $20
Hence, the marginal revenue for the 10th unit, considering the demand schedule, is $20.