Firm's price multiplied by Quantity of output produced gives __.Multiple choice question.marginal revenuetotal revenueaverage revenuetotal profits

Break Down the Problem

1. Identify what is being asked in the question: the product of price and quantity.
2. Understand the definitions of each option provided in the multiple-choice question.

Relevant Concepts

1. Total Revenue (TR): Total revenue is calculated as: $TR = \text{Price} \times \text{Quantity}$
2. Marginal Revenue (MR): Marginal revenue refers to the additional revenue that is generated from the sale of one more unit of a good or service.
3. Average Revenue (AR): Average revenue is calculated by dividing total revenue by the quantity sold.
4. Total Profits: Total profits are calculated as total revenue minus total costs.

Analysis and Detail

1. The question directly states that the firm's price multiplied by the quantity of output produced gives a specific economic term.
2. Since total revenue is defined as the product of price and quantity, the correct choice must be Total Revenue.

Verify and Summarize

1. By substituting the definitions of the revenue concepts, we confirm that:
   • Total Revenue = Price × Quantity
2. Thus, we can confidently state the correct answer.

Final Answer

Total Revenue.