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Suppose the Accompanying Table Describes the Demand for a Good

Question 98

Multiple Choice

Suppose the accompanying table describes the demand for a good produced by monopolist.  Price  Quantity $101$92$83$74$65$56$47\begin{array} { | c | c | } \hline \text { Price } & \text { Quantity } \\\hline \$ 10 & 1 \\\hline \$ 9 & 2 \\\hline \$ 8 & 3 \\\hline \$ 7 & 4 \\\hline \$ 6 & 5 \\\hline \$ 5 & 6 \\\hline \$ 4 & 7 \\\hline\end{array}  
Based on the data in the table, we know the firm should: 


A) be able earn an economic profit.
B) produce more than 7 units.
C) not produce the seventh unit.
D) not produce the fifth unit.

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