Answer:
the rate of output where marginal revenue equals marginal cost.
Explanation:
A monopoly is a market structure which is typically characterized by a single-seller who sells a unique product in the market by dominance. This ultimately implies that, it is a market structure wherein the seller has no competitor because he is solely responsible for the sale of unique products without close substitutes.
Additionally, a monopolist refer to any individual that deals with the sales of unique products in a monopolistic market.
A monopolist maximizes profits by finding the rate of output or quantity where marginal revenue (MR) equals marginal cost (MC) and the intersection of these two (2) points determines the equilibrium of a business firm.
Marginal revenue can be defined as the additional amount of money that is gained or generated by a business firm from the sales of an additional unit of a product or service.
Marginal cost can be defined as the additional or extra cost that is being incurred by a company as a result of the production of an additional unit of a product or service.
Generally, marginal cost can be calculated by dividing the change in production costs by the change in level of output or quantity.
