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Commerce · Q1237

Economics

Graduate and Post Graduate · Commerce · question 1237

Q1237

Assuming that a firm's total revenue curve takes the form of a straight line which passes through the origin, we may deduce that

A.
Price and marginal revenue are equal
Answer
B.
Price exceeds MR
C.
TC equals MR
D.
Elasticity of demand is unity

Answer: Option A

Solution

Answer: Option A
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