Florida girl's death brings to light tonsillectomy risks. September 23, 2010|By Lorri Helfand and Letitia Stein, St. Petersburg Times. The recent death of a seemingly healthy, 12-year-old Pinellas County girl following a tonsillectomy may have many parents worried about one of the most common surgical procedures performed in children.
In a perfectly competitive market price is equal to marginal revenue. Price will also equal average cost. If price was greater than average cost the firms in the market would be making profit. This would lead to more firms entering (remember no barriers to entry) until profits are eliminated.
Average revenue. Average revenue (AR), is revenue per unit, and is found by dividing TR by the quantity sold, Q. AR is equivalent to the price of the product, where P x Q/Q = P, hence AR is also price. Marginal revenue. Marginal revenue (MR) is the revenue generated from selling one extra unit of a good or service.