Answer:
$2500
Step-by-step explanation:
As we know that the Profit - Maximising condition of the monopoly says that the maximum profit is at the position where the marginal cost becomes equal to marginal revenue. Hence, we can say that:
Marginal Revenue = Marginal Cost
This is the point on the demand curve which is exactly above the point of intersection of two lines MR and MC which highlights the price and the quantity that will equal Marginal revenue with marginal cost.
Now here, the point on the demand curve which is exactly above the point of intersection of two lines MR and MC gives price per unit of $25 and 100 units of demand.
Since
Total Revenue = P * Q
= $25 per unit * 100 units
= $2,500 is the total revenue which is the maximum profit and entity can earn.