Which of the following illustrates the concept of marginal revenue?

Burger Barns receives an extra $1.59 by selling another hamburger.
Costs at Daryl's Dairy rise by $.87 when it produces another gallon of milk.
Fred's Farms pays $.90 for each gallon of fuel it needs to run equipment.
When the post office hires another letter sorter, it can sort an extra 3000 letters per hour.
None of the above.


Use the following table for the next question:

Output
Total Cost
Marginal Revenue
1 (first)
$9.00
$10.00
2 (second)
13.00
9.00
3 (third)
17.00
8.00
4 (fourth)
22.50
7.00
5 (fifth)
30.00
6.00

On the basis of this information, the profit-maximizing level of output is:


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