Answer:
We are given that a manufacturer sells a product as $2 per unit.
Quantity = q units
So, Total revenue = [tex]\text{Cost per unit} \times quantity[/tex]
Total revenue = [tex]2q[/tex]
So, the total revenue function is [tex]2q[/tex]
Marginal revenue is the derivative of the revenue functions
So, Marginal revenue = [tex]\frac{dR}{dq} =2[/tex]
The marginal revenue function is 2
The constant marginal revenue function mean that the revenue earned by the addition of the output is constant.
