Suppose that Nathan Juarez is the only seller of kumquats in a small town. The following graph shows the demandand marginal revenue (MR) curves facing Nathan. You can use the red rectangle labelled Total Revenue (crosssymbols) to compute total revenue at various prices along the demand curve. To see the area of the Total Revenuerectangle, scroll over the shaded area with your mouse. You will not be scored on where you place the rectangle.Show Transcribed Text8072645648403224PRICE (Dollars per basket)161089087TOTAL REVENUE (Thousands of dollars per year]6On the following graph, use the green points (triangle symbol) to plot annual total revenue at prices of $7, $6, $5,$4, $3, $2, and $1 per basket of kumquats. Be sure to use all of the points provided. Line segments willautomatically connect the points.5Then, consider the quantity of kumquats at which Nathan Juarez's marginal revenue exactly equals zero. Place a greypoint (star symbol) on the total revenue curve to indicate this quantity. Drop lines will automatically extend to bothaxes.43210MRDemand4 8 12 16 20 24 28 32 36 40QUANTITY (Thousands of basketsper yearlTotal Revenue-AMR=04 8 12 16 20 24 28 32 36 40QUANTITY (Thousands of basketsper year] Help1Total RevenueClear AllHelpClear AllNo more than 16,000 basketsMore than 32,000 basketsMore than 16,000 baskets, but no more than 32,000 basketsIf Nathan sells 12,000 baskets at the highest price consumers are willing to pay according to the demand curve, hisaverage revenue will beper basket.Consider the elasticity of demand along the demand curve. Even though the cost curves are not shown, you canconclude that Nathan will produce:

Total revenue is the amount earned by the firm by selling its product. Total revenue is price times…

Suppose that Nathan Juarez is the only seller of kumquats in a small town. The following graph shows the demand and marginal revenue (MR) curves facing Nathan. You can use the red rectangle labelled Total Revenue (cross symbols) to compute total revenue at various prices along the demand curve. To see the area of the Total Revenue rectangle, scroll over the shaded area with your mouse. You will not be scored on where you place the rectangle. PRICE (Dollars per basket) 10 9 8 7 6 5 4 3 2 1 0 Total Revenue MR Demand 4 8 12 16 20 24 28 32 36 40 QUANTITY (Thousands of basketsper year] Help Clear All On the following graph, use the green points (triangle symbol) to plot annual total revenue at prices of $7, $6, $5, $4, $3, $2, and $1 per basket of kumquats. Be sure to use all of the points provided. Line segments will automatically connect the points. Then, consider the quantity of kumquats at which Nathan Juarez's marginal revenue exactly equals zero. Place a grey point (star symbol) on the total revenue curve to indicate this quantity. Drop lines will automatically extend to both axes.

Suppose that Nathan Juarez is the only seller of kumquats in a small town. The following graph shows the demand and marginal revenue (MR) curves facing Nathan. You can use the red rectangle labelled Total Revenue (cross symbols) to compute total revenue at various prices along the demand curve. To see the area of the Total Revenue rectangle, scroll over the shaded area with your mouse. You will not be scored on where you place the rectangle. PRICE (Dollars per basket) 10 9 8 7 6 5 4 3 2 1 0 Total Revenue MR Demand 4 8 12 16 20 24 28 32 36 40 QUANTITY (Thousands of basketsper year] Help Clear All On the following graph, use the green points (triangle symbol) to plot annual total revenue at prices of $7, $6, $5, $4, $3, $2, and $1 per basket of kumquats. Be sure to use all of the points provided. Line segments will automatically connect the points. Then, consider the quantity of kumquats at which Nathan Juarez's marginal revenue exactly equals zero. Place a grey point (star symbol) on the total revenue curve to indicate this quantity. Drop lines will automatically extend to both axes.

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter19: Elasticity

Section: Chapter Questions

Problem 9QP

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how do i show this answer in two seperate graphs? Or is the one graph showing both parts of the equation? It looks like demand is both curving to the left and the right on the graph, what is the best way to explain this?