Question

Comparing marginal revenue to marginal cost (i) reveals the contribution of the last unit of production to total profit. (ii) is helpful in making profit-maximizing production decisions. (iii) tells a firm whether its fixed costs are too high. a. (i) only b. (i) and (ii) only c. (ii) and (iii) only d. (i) and (iii) only

Answer 1

B

Step-by-step explanation:

Marginal revenue is defined as an incremental revenue generated from the sales of an additional unit of a product and services while a a marginal cost is an incremental cost incurred from the production of additional unit of a goods and services

Looking at these definitions , it can be inferred that marginal revenue reveals the contribution of the last unit of production to the total unit as well as helping in making profit maximizing decision in a production process