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The total revenue of a purely competitive firm from selling 6 units of output is $48. Based on this information, the unit price of the output must be

a) $42.
b) $54.
c) $8.
d) $288.

1 Answer

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Final answer:

The unit price of the output for a purely competitive firm is calculated by dividing the total revenue by the quantity sold, which in this case is $48 divided by 6 units, resulting in a unit price of $8.

Step-by-step explanation:

To calculate the unit price of the output for a purely competitive firm, we divide the total revenue by the quantity of output sold. In the scenario provided, the firm's total revenue from selling 6 units of output is $48. To find the price per unit, we simply divide $48 by the 6 units sold.

Unit Price = Total Revenue / Quantity
Unit Price = $48 / 6 units
Unit Price = $8 per unit

Therefore, the unit price of the output is $8, which corresponds to option c).

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