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Currently a Monopolist's MR = $5 and Its MC =

Question 17

Multiple Choice

Currently a monopolist's MR = $5 and its MC = $10 and it services 10 consumers. An 11th consumer walks in. Should the company service her?


A) Yes, MR > MC, so it should service her.
B) Yes, MR < MC, so it should service her.
C) No, MR > MC, so it should not service her.
D) No, MR < MC, so it should not service her.

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