If a perfectly competitive firm is producing 2,000 units and , at the 2,000th unit, the...
If a perfectly competitive firm is producing 2,000 units and , at the 2,000th unit, the difference between marginal revenue and marginal cost (MR-MC) is zero, which of the following is true?
A) The firm should exactly double production to maximize profit
B) The firm should decrease production to maximize profit
C)The firm is maximizing profit
D)The firm should increase production to maximize profit
Homework Answers
"C"
The firm is maximising the profit because at this output the marginal revenue and the marginal cost are both equal.
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If a perfectly competitive firm is producing 2,000 units and ,
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Question 31 2.5 pts 31. A firm in a perfectly competitive industry has total revenue of...
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