In answering the question, assume a graph in which dollars are measured on the vertical axis and output on the horizontal axis.For a purely competitive firm,

A) marginal revenue will graph as an upsloping line.
B) the demand curve will lie above the marginal revenue curve.
C) the marginal revenue curve will lie above the demand curve.
D) the demand and marginal revenue curves will coincide.

Marginal Revenue

The additional profit earned from the sale of an extra unit of a product or service.

Purely Competitive Firm

Describes a business that operates in a market where no single company can influence prices, due to the presence of many sellers offering identical products.

Output

The quantity of goods or services produced in a certain period of time by a person, machine, or industry.