Price ($)
m 9 of 19 >
a. On the demand curve graph, place the end points of the demand curve such that at a quantity of 2 the price is $8 per unit and
at a quantity of 16, the price of $1 per
unit.
b. Use the information from the demand curve to plot a total revenue curve for a firm facing the plotted demand curve.
Demand Curve
12
11
10
9
8
7
6
Total Revenue Curve
60
56
Demand
52
48
TR
40
60
Total Revenue ($)
36
32
28
24
4
3
20
16
12
2
8
1
4
0
0
0 1 2 3
4
5 6 7 8 9 10 11 12 13 14 15 16
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Quantity
Quantity