Correct Option: b. $72
It is because under perfect competition, marginal revenue stays same at all units. Therefore total revenue can be obtained by multipliying the marginal revenue with the output produced.
Total revenue at 8th unit will be = 9 8 = $72
When a firm in a competitive market produces 11 units of output, it has a marginal...
What happens if a competitive firm is currently producing a level of output at which marginal revenue exceeds marginal cost? Select one: O a. A one-unit decrease in output will increase the firm's profit. b. A one-unit increase in output will increase the firm's profit. O c. Total revenue exceeds total cost. d. Total cost exceeds total revenue.
$3,100.75. $3,675.00. Question 10 1 pts Suppose a firm in a competitive market produces and sells 8 units of output and has a marginal revenue of $8. What would be the firm's marginal revenue if it instead produced and sold 4 units of output? $2 $8 $32 $64 Question 11 1 pts Suppose that some firms in a competitive industry are earning zero economic profits, while others are experiencing losses. All else equal, in the long run, we would expect...
A profit-maximizing firm in a competitive market is currently producing 100 units of output. It has average revenue so $10, average total cost of $8 and fixed cost of $200. a. what is the profit?b. what is the marginal cost?c. what is its average variable cost?d. is the efficent scale of the firm more than, less than, or equal to 100 units?
When will a profit-maximizing firm in a competitive market always make marginal adjustments to production? Select one: O a. as long as average revenue is greater than average total cost b. as long as average revenue is equal to marginal cost c. as long as price is above or below marginal cost O d. as long as marginal cost is greater than average total cost
15. Use the following figure for a firm in a perfectly competitive market. a What is the output that maximizes the firm's profit? b. At the profit-maximizing output, calculate total revenue and total cost. C. If the firm maximizes profit, how much profit does it earn? d. What will likely happen to market demand or market supply in the long run? e. What will likely happen to the market price in the long run? Price (s) d = P =...
For a perfectly competitive firm, marginal revenue equals marginal cost at 250 units of output. At 250 units, price is greater than average variable cost. It necessarily follows that the Select one: a. marginal cost curve must have an upward-sloping portion and a downward-sloping portion. b. firm must be earning a profit. c. firm should continue to produce in the short run. d. firm should shut down its operation in the short run Next page Seo w
Suppose your firm operates in a perfectly competitive market and decides to double its output. How does this affect the firm's marginal profit? Select one: a. Marginal revenue and marginal cost increase b. Marginal revenue increases but marginal cost remains the same C. Marginal cost may change but marginal revenue remains the same d. Marginal revenue and marginal cost decrease
above figure, when the firm produces output corresponding to point c the firm's marginal co A) equals its marginal revenue B) exceeds its marginal revenue C) equals its average revenue. D) is less than its marginal revenue. E) more information would be needed to answer the question 25) At a firm's break-even point, its A) marginal revenue exceeds its marginal cost. 13) marginal revenue equals its average variable cost. C) total revenue equals its total opportunity cost. D) also its...
Suppose there is a monopolistically competitive market with n identical firms, such that each firm produces the same quantity, q. Further, the market is in the monopolistically competitive long-run equilibrium. You are given the following: Inverse market demand: P 10-Q Total market output: Qnxq Marginal revenue: MR 10n+ 1)xq Total cost: C(q)-5+q Marginal cost: MC 2xq In long-run equilibrium, each firm earns zero economic profit. In long-run equilibrium, the number of firms, n, is and each firm produces units) of...
Scenario 14-4 The information below applies to a competitive firm that sells its output for 540 per unit. • When the firm produces and sells 150 units of output, its average total cost is $24.50. . When the firm produces and sells 151 units of output, its average total cost is $24.55. Refer to Scenario 14-4. How does the firm's marginal revenue (MR) compare to its marginal cost (MC) when it increases its output from 150 units to 151 units?...