Ask Question
BusinessBusiness
8 August, 18:55

Dave sells 4 gallons of milk at $5 per gallon. If he increases his sales to 5 gallons at the same price per gallon, calculate Dave's marginal revenue from selling milk.

+3
Answers (1)
  1. 8 August, 19:20
    0
    Dave's marginal revenue from selling milk is $ 5.

    Explanation:

    This problem requires us to calculate Dave's marginal revenue from selling milk. The marginal revenue is calculated by subtracting current reveue form the expected or forecasted revenue. Detail calculation is given below.

    Current reveune = 4 * 5 = 20 dollars - A

    Expected Reveunue = 5 * 5 = 25 dollars - B

    Marginal revenue = A-B = 25 - 20 = $ 5
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Dave sells 4 gallons of milk at $5 per gallon. If he increases his sales to 5 gallons at the same price per gallon, calculate Dave's ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Suppose that Bolivia has recently experienced an increase in its growth rate, although the total quantity of inputs in the country has remained unchanged. This growth may have been caused by Choose one or more: A. a random increase in demand. B.
Answers (1)
What is a Financial market
Answers (2)
A sole proprietorship: A. provides limited liability for its owner. B. involves significant legal costs during the formation process. C. has an unlimited life. D. has its profits taxed as personal income. E.
Answers (1)
All of the following are included in the heading of an income statement except: Select one: a. Year-end date b. Statement of income c. Period of time covered by the statement d. Business name
Answers (1)
Assume you initially sold wrist watches at $75 per watch. At that price, consumers purchased 10 watches per week. You decide to drop the price to $50 per watch. As a result, consumers purchase 35 watches per week.
Answers (1)
New Questions in Business
What do bankers take into account when allocating their assets?
Answers (1)
Don't panic if you get lost. never leave camp without fire-starting equipment. always bring a map and compass. always tell someone where you are going. these are: rules of firearms safety
Answers (1)
The situation in which one supplier thoroughly dominates a market and essentially shuts out other competitors
Answers (1)
Under what scenarios could a foodservice operation achieve excellent food and beverage cost percentages, yet incur excessively high labor costs?
Answers (1)
Stuart Weddle's father is 55 years old and wants to set up a cash flow stream that would be forever. He would like to receive $15,000 every year, beginning at the end of this year.
Answers (2)
Home » Business » Dave sells 4 gallons of milk at $5 per gallon. If he increases his sales to 5 gallons at the same price per gallon, calculate Dave's marginal revenue from selling milk.
Sign Up Forgot Password?