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Solution:
To calculate the marginal revenue resulting from an increase in output from 15 units to 16 units, we need to first calculate the change in total revenue resulting from this increase in output.
We can use the formula for total revenue (TR) as follows:
TR = Price × Quantity
When the price is ₹20 and the quantity demanded is 15 units, the total revenue is:
TR1 = 20 × 15 = 300
When the price is `18 and the quantity demanded is 16 units, the total revenue is:
TR2 = 18 × 16 = 288
The change in total revenue resulting from an increase in output from 15 units to 16 units is:
ΔTR = TR2 - TR1 = 288 - 300 = -₹12
Therefore, the marginal revenue resulting from an increase in output from 15 units to 16 units is -12.
The correct answer is (c) −₹12.
Correct option is (c)