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Alexxandr [17]
3 years ago
13

Wendy has a monopoly in the retailing of motor homes. She can sell five per week at $21,000 each. If she wants to sell six, she

must charge $20,000 each. The quantity effect of selling the sixth motor home is:Choose one answer.
a. $21,000.
b. $15,000.
c. $10,000.
d. $20,000.
Business
1 answer:
Ilia_Sergeevich [38]3 years ago
3 0

Answer:

The correct option is option d, $20,000.

Explanation:

As she has to sell all the six, she has to charge each house for $20,000. This indicates that the quantity effect of selling the sixth motor home is given as

the cost of the sixth house which is $20,000 so the correct answer is $20,000.

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I found this data from Table 7.3
<span> <span> </span><span><span> Labor Input Output
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</span> <span> 2                          70
</span> <span> 3                          90
</span> <span> 4                       100
</span> <span> 5                       105
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</span> <span> 0                         0                 0                      0                        0
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