Post Utme Esut 2018 Commerce Question 9

Practice objective / multiple choice question 9 from the 2018 Post Utme Esut Commerce examination.

Post Utme Esut 2018 Commerce Objective / Multiple Choice
Question 9 POST_UTME_ESUT • 2018 • COMMERCE • objective

A firm's demand curve is downward-sloping because the firm is willing to sell more of a good as its price decreases. Explain why this is the case.

Answer Options

A. Because the firm's marginal revenue decreases as the price increases.
Correct Answer B. Because the firm's marginal revenue increases as the price decreases.
C. Because the firm's total revenue is maximized when the price is at its lowest.
D. Because the firm's total revenue is minimized when the price is at its highest.
Correct Answer
B
Correct Option:
Because the firm's marginal revenue increases as the price decreases.

About This Question

This is Post Utme Esut 2018 Commerce Question 9. It is one of the objective questions from the 2018 Post Utme Esut Commerce examination.

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