In which price range of the accompanying demand schedule is demand elastic?

Suppose a monopolist's costs and revenues are as follows: ATC = $50.00; MC = $45.00; MR = $40.00; P = $55.00. The firm should

A) increase output and decrease price. B) decrease output and increase price. C) not change output or price. D) shut down.

An upward-sloping line or curve is used to illustrate:

A. a direct relationship. B. an inverse relationship. C. two unrelated variables. D. the ceteris paribus assumption.