Final answer:
Marginal revenue is the additional income from selling one more unit of a product and is calculated as the change in total revenue divided by the change in quantity. The calculations can be done using data from a table showing changes in total revenue as quantities sold increase.
Step-by-step explanation:
The total revenue for the sale of x items is determined by the price at which the items are sold multiplied by the quantity (x). To find marginal revenue (MR), we look at the change in total revenue for a small change in the quantity of items sold. In economic terms, marginal revenue is the additional income a firm earns by selling one more unit of a product. The formula for calculating marginal revenue is MR = Change in Total Revenue / Change in Quantity.
According to the table provided, if we take two consecutive quantities, the marginal revenue can be calculated as follows: For the first increase from 1 to 2 units, the marginal revenue is (2200 - 1200) / (2 - 1) = 1000/1 = $1000 per unit. If we continue this pattern, the marginal revenue for each subsequent unit can be similarly calculated.