Question

Trout Incorporated (Inc.) sells trout in a perfectly competitive market. Trout Inc. is able to sell trout for $600 per unit. In this market, there are 2000 firms competing with one another. Last year, Trout Inc. was able to earn an economic profit of $1,000,000 . The firm has purchased a permit to fish this season, insurance in case one of their workers gets hurt on the job, and a boat. Together, these items represent all of the firm's fixed costs and sum to $100,000 . Last year, Trout Inc.'s total revenue was $1,300,000 . What is the marginal revenue per unit for this firm?

Answer 1

Answer:

$ 600 per unit

Explanation:

Given:

selling price in the market = $ 600 per unit

From the given question it can be concluded that the firm is selling produce in the perfectly competitive market.

Now,

In the perfectly competitive market the marginal revenue is the selling price of the product.

Therefore, for the given question

the marginal revenue per unit = selling price = $ 600 per unit