Answer:
Option (b) is correct.
Explanation:
The total revenue can be determined by multiplying price of the good with quantity of goods sold. At price, P3, a profit maximizing firm's total revenue is at a point where the marginal cost is equal to the average total cost which is at a point Q2 quantity of goods sold and it is represented by the area :
P3 × Q2
Note: The figure is missing in this question, so I attached the figure with the answer.
