Problems
11. Consider the following table showing the various revenue
concepts for DairyTreat Inc., a perfectly competitive firm that sells
milk by the litre. Suppose the firm faces a constant market price
of $2 per litre.Price
(p)Quantity Total
Revenue
(TR)Average
Revenue
(AR)Marginal
Revenue
(MR)$2 150 — — —
2 175 — — —
2 200 — — —
2 225 — — —
2 250 — —
a. Compute total revenue for each level of output. Fill in the
table.