view policies\ncurrent attempt in progress\nin the figure below, estimate the marginal revenue when the…

Explanation:

Step1: Recall marginal revenue concept

Marginal revenue $MR$ is the derivative of the revenue function $R(q)$, and can be approximated by the slope of the tangent line to the revenue - function graph at a given point.

Step2: Estimate the slope of the tangent line

To estimate the slope of the tangent line to the curve $R(q)$ at $q = 400$, we can use two points on the tangent line. Assume we choose two points on the tangent line close to $q = 400$. Let's say we estimate the rise and run. Looking at the grid, if we consider a small interval around $q = 400$. Suppose we move a small amount $\Delta q$ along the $q$-axis and observe the corresponding change $\Delta R$ in the revenue. If we assume that for a small change $\Delta q= 100$ (for example, from $q = 350$ to $q = 450$), and we estimate the change in $R$ (the rise) to be approximately $\Delta R=5000$. The slope of the tangent line (which is the marginal revenue) is given by the formula $MR=\frac{\Delta R}{\Delta q}$. [MR=\frac{\Delta R}{\Delta q}=\frac{5000}{100} = 50]

Answer:

Marginal revenue = 50 The revenue for producing the 401 - st unit will be $50$.