Post Utme Unilorin 2020 Economics Question 12

Practice objective / multiple choice question 12 from the 2020 Post Utme Unilorin Economics examination.

Post Utme Unilorin 2020 Economics Objective / Multiple Choice
Question 12 POST_UTME_UNILORIN • 2020 • ECONOMICS • objective

A firm's demand curve is downward sloping, indicating that as the price of its product increases, the quantity demanded decreases. However, if the firm is a price taker in a perfectly competitive market, it will produce at the point where its marginal revenue equals its marginal \cost. What is the relationship between the firm's demand curve and its marginal revenue curve?

Answer Options

A. The demand curve is steeper than the marginal revenue curve.
Correct Answer B. The demand curve is flatter than the marginal revenue curve.
C. The demand curve and marginal revenue curve are identical.
D. The demand curve and marginal revenue curve are perp\endicular.
Correct Answer
B
Correct Option:
The demand curve is flatter than the marginal revenue curve.

About This Question

This is Post Utme Unilorin 2020 Economics Question 12. It is one of the objective questions from the 2020 Post Utme Unilorin Economics examination.

View More Post Utme Unilorin 2020 Economics Questions More Post Utme Unilorin Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support