The Figure Given Below Shows the Revenue and Cost Curves

Multiple Choice

The figure given below shows the revenue and cost curves of a firm. MC represents the marginal cost curve, AC the average cost curve, MR the marginal revenue curve, and AR the average revenue curve.Figure 9.4

-A monopolist faces the least price-elastic demand curve because:

A) the consumers have only one place to buy the good.
B) the monopolist produces a standardized product.
C) the monopolist undertakes a huge expenditure to produce the product.
D) the monopolist supplies to an insignificant portion of the market.
E) the monopolist produces an absolutely necessary good having close substitutes.