If a firm charges $9.00, it can sell only three units of its product. Lowering its price to $8.00 allows it to sell four. The marginal revenue of the fourth unit is:
$9.00 $8.00 $6.00 $5.00
Answer the next question using this table:
Quantity Marginal Revenue First $12 Second $10 Third $8
The total revenue for selling three units of output will be:
$2. $18. $24. $30.