Multiple Choice
Refer to the following figure:
The graph shows the demands and marginal revenue in two markets, 1 and 2, for a price discriminating firm along with total marginal revenue, MRT, and marginal cost.
-How should the firm allocate sales between the two markets?
A) 150 in each market
B) 100 in market 1, 175 in 2
C) 150 in market 1, 300 in 2
D) 112.5 in each market
E) 75 in market 1, 150 in 2
Correct Answer:

Verified
Correct Answer:
Verified
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