Amonopoly finds that, at its present level of output and sales, marginal revenue equals $5 and marginal cost is $4.10 which of the following will maximize profits?

To determined the profit is being maximized, you need to make sure that the difference between the total revenue and total cost is greatest. So the formula we need to use in determining the maximized profit is

Profit = Total Revenue - Total Cost

Given

 TR = $5
 TC = $4.10

Solution

Profit = 5 - 4.10
          = 0.9 
The answer is 0.9. 

at 0 hours the plane has 422,000 gallons of gas.

after 2 hours it has 369,250 gallons.

subtract to find the difference and then divide by 2 hours:

422000 – 369250 = 52750 /2 = 26,375 gallons per hour.

can also do the full 16 hours:

the plance used 422,000 gallons in 16 hours:

422,000 / 16 = 26,375 gallons per hour.