Why is average revenue equal to price when all units of output are sold at the same price?

Average revenue is equal to price when all units of output are sold at the same price because average revenue is calculated by dividing total revenue by the quantity sold. In a scenario where each unit is sold at a uniform price, total revenue is simply the price multiplied by the number of units sold. Therefore, when you divide total revenue by the quantity, the result is the price per unit, making average revenue equal to price. This relationship holds true in perfectly competitive markets where firms are price takers.