--%>
Assignment Help - homework help

Relation between Average Revenue, Total and Marginal Revenue

Illustrates the relation between Average Revenue, Total Revenue and Marginal Revenue?

E

Expert

Verified

The relationship between Average Revenue, Total Revenue and Marginal Revenue can be understood with the assist of the illustrated table:

904_Average Revenue, Total Revenue and Incremental Revenue.png

The study of the given table reveals as follows:

1. As long as Average Revenue is falling, Marginal Revenue will be less than Average Revenue

2. Marginal Revenue falls more steeply than Average Revenue

3. Total Revenue will be rising as long as Marginal Revenue is positive

4. Where Marginal Revenue is negative, Total Revenue will be falling

5. Total Revenue will be maximization at the point where Marginal Revenue is Zero.

The relation in between elasticity of demand and Total Revenue can be summarized as given below:

704_Total Revenue.png

   Related Questions in Managerial Economics

  • Q : Earning difference in average wages In

    In 2007 year, relative to men along with comparable education and experience, working women earned average wages which were roughly: (w) 25%-35% of the average wages for men.. (x) 70%-80% of the average wages for men. (y) 80%-90% of the average wages

    		•
  • Q : Differentiate between Private Cost and

    Differentiate between Private Cost and Social Cost.

    		•
  • Q : Occurrence of production Production

    Production broadly happens while: (1) a corporation creates a profit. (2) weather disperses economic bads within the environment. (3) knowledge is used to direct energy to change materials and raise their value. (4) resources are combined within a bal

    		•
  • Q : Resources and Products Flow Model I

    I have a problem in economics on Resources and Products Flow Model. Please help me in the following question. The eventual owners of all resources and products in the society are as follows: (i) households. (ii) Firms. (iii) The tax-paying public. (iv

    		•
  • Q : Case Study I am uploading another

    I am uploading another project. Please provide cost and estimated delivery day. Thanks.

    		•
  • Q : Supply of labor in a perfectly

    The supply of labor within a perfectly competitive market is: (w) an upward sloping curve. (x) a horizontal line. (y) above the MRC. (z) below the MRC. Hello guys I want your advice. Please recommend some views for

    		•
  • Q : Value of the Marginal Product and

    When a firm is a price taker in the sale of its product, in that case labor’s: (w) ARP (Average Revenue Product) = MRP. (x) ARP = VMP. (y) VMP > MRP. (z) VMP = MRP. Can someone explain/help me with best so

    		•
  • Q : Define Cost Volume-Profit relationship

    Describe briefly Cost Volume-Profit relationship?

    		•
  • Q : Illustrates the steps in formulating

    Illustrates the steps in formulating pricing policies in details?

    		•
  • Q : What are the characteristics of a

    What are the characteristics of a business cycle?

    		•