unit elastic
Price elasticity of demand is a way to determine marginal revenue. Optimal revenue and, more importantly, optimal profit will occur to the point when marginal revenue = marginal cost, or the price elasticity of demand < 1.
marginal revenue is negative where demand is inelastic
I'm thinking that marginal revenue product is the marginal revenue on one product, and marginal revenue is the marginal revenue on the whole firm sales... I'm wondering the same thing but the above response is incorrect. both terms imply values on one item as indicated by the "marginal"
price = marginal revenue. marginal revenue > average revenue. price > marginal cost. total revenue > marginal co
A company maximizes profits when marginal revenue equals marginal costs.
Price elasticity of demand is a way to determine marginal revenue. Optimal revenue and, more importantly, optimal profit will occur to the point when marginal revenue = marginal cost, or the price elasticity of demand < 1.
marginal revenue is negative where demand is inelastic
Demand is unit elastic.
A wild guess is that it is negative.
I'm thinking that marginal revenue product is the marginal revenue on one product, and marginal revenue is the marginal revenue on the whole firm sales... I'm wondering the same thing but the above response is incorrect. both terms imply values on one item as indicated by the "marginal"
price = marginal revenue. marginal revenue > average revenue. price > marginal cost. total revenue > marginal co
Marginal revenue is the change in total revenue over the change in output or productivity.
Some of the business applications are: (1) Finding the number of ouputs produced to maximize the profit. (2) Calculation of marginal revenue , marginal cost (3) Calculation of marginal average cost (4) Calculating elasticity of demand
A company maximizes profits when marginal revenue equals marginal costs.
Explain why the marginal revenue(MR) is always less than the average revenue (AR)?
Marginal Cost = Marginal Revenue, or the derivative of the Total Revenue, which is price x quantity.
To determine the marginal revenue formula for a business, you can calculate the change in total revenue when one additional unit of a product is sold. The formula for marginal revenue is MR TR/Q, where MR is marginal revenue, TR is the change in total revenue, and Q is the change in quantity sold. By analyzing the revenue data and applying this formula, businesses can determine their marginal revenue.