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suppose a bookseller can sell 10 books at the price of rupees 200 per book his marginal revenue from the 11th book is rupees 255 at what price did he sell the 11th book?
Most Upvoted Answer
suppose a bookseller can sell 10 books at the price of rupees 200 per ...
**Explanation:**
To find the price at which the bookseller sold the 11th book, we need to understand the concept of marginal revenue.
**Marginal Revenue:** Marginal revenue is the additional revenue generated from selling one additional unit of a product. It can be calculated by dividing the change in total revenue by the change in quantity sold.
In this case, the bookseller is selling books at a price of Rs. 200 per book and his marginal revenue from the 11th book is Rs. 255. This means that the total revenue from selling the first 10 books is Rs. 2000 (10 books * Rs. 200 per book).
To calculate the price at which the 11th book was sold, we need to determine the change in total revenue. We know that the marginal revenue is the change in total revenue divided by the change in quantity sold. In this case, the change in quantity sold is 1 (from 10 books to 11 books) and the marginal revenue is Rs. 255.
**Calculations:**
Let's assume the price at which the 11th book was sold is P.
1. Total revenue from selling the first 10 books = 10 books * Rs. 200 per book = Rs. 2000
2. Total revenue from selling the first 11 books = 11 books * P per book
3. Change in total revenue = Total revenue from selling the first 11 books - Total revenue from selling the first 10 books = (11P - 2000)
4. Change in quantity sold = 1
5. Marginal revenue = Rs. 255
Now, we can set up the equation for marginal revenue:
255 = (11P - 2000) / 1
Simplifying the equation:
255 = 11P - 2000
255 + 2000 = 11P
2255 = 11P
P = 2255 / 11
P ≈ Rs. 205.91
Therefore, the bookseller sold the 11th book at a price of approximately Rs. 205.91.
To find the price at which the bookseller sold the 11th book, we need to understand the concept of marginal revenue.
**Marginal Revenue:** Marginal revenue is the additional revenue generated from selling one additional unit of a product. It can be calculated by dividing the change in total revenue by the change in quantity sold.
In this case, the bookseller is selling books at a price of Rs. 200 per book and his marginal revenue from the 11th book is Rs. 255. This means that the total revenue from selling the first 10 books is Rs. 2000 (10 books * Rs. 200 per book).
To calculate the price at which the 11th book was sold, we need to determine the change in total revenue. We know that the marginal revenue is the change in total revenue divided by the change in quantity sold. In this case, the change in quantity sold is 1 (from 10 books to 11 books) and the marginal revenue is Rs. 255.
**Calculations:**
Let's assume the price at which the 11th book was sold is P.
1. Total revenue from selling the first 10 books = 10 books * Rs. 200 per book = Rs. 2000
2. Total revenue from selling the first 11 books = 11 books * P per book
3. Change in total revenue = Total revenue from selling the first 11 books - Total revenue from selling the first 10 books = (11P - 2000)
4. Change in quantity sold = 1
5. Marginal revenue = Rs. 255
Now, we can set up the equation for marginal revenue:
255 = (11P - 2000) / 1
Simplifying the equation:
255 = 11P - 2000
255 + 2000 = 11P
2255 = 11P
P = 2255 / 11
P ≈ Rs. 205.91
Therefore, the bookseller sold the 11th book at a price of approximately Rs. 205.91.
Community Answer
suppose a bookseller can sell 10 books at the price of rupees 200 per ...
Solution:
MR at 11th unit=255
MR=TR(n)-TR(n-1)
255=x-2000
x=2255
now,
TR(11)=2255,
price 2255/11
=205
MR at 11th unit=255
MR=TR(n)-TR(n-1)
255=x-2000
x=2255
now,
TR(11)=2255,
price 2255/11
=205
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suppose a bookseller can sell 10 books at the price of rupees 200 per book his marginal revenue from the 11th book is rupees 255 at what price did he sell the 11th book? Related: Chapter Notes - Revenue (Producer Behaviour and Supply), Class 12, Economics
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suppose a bookseller can sell 10 books at the price of rupees 200 per book his marginal revenue from the 11th book is rupees 255 at what price did he sell the 11th book? Related: Chapter Notes - Revenue (Producer Behaviour and Supply), Class 12, Economics for Commerce 2025 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about suppose a bookseller can sell 10 books at the price of rupees 200 per book his marginal revenue from the 11th book is rupees 255 at what price did he sell the 11th book? Related: Chapter Notes - Revenue (Producer Behaviour and Supply), Class 12, Economics covers all topics & solutions for Commerce 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for suppose a bookseller can sell 10 books at the price of rupees 200 per book his marginal revenue from the 11th book is rupees 255 at what price did he sell the 11th book? Related: Chapter Notes - Revenue (Producer Behaviour and Supply), Class 12, Economics.
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