Marginal revenue equals marginal cost at an output of 20 units. At this output, marginal revenue equals $20, average variable cost equals $15, and average total cost equals $25. In the short run, a profit-maximizing firm will earn a profit of
A. -$200.
B. -$100.
C. $200.
D. $400.
Answer: B
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When economists say that money promotes ________, they mean that money encourages specialization and the division of labor
A) bargaining B) contracting C) efficiency D) greed
Which of the following changes would tend to both decrease the quantity of a good traded and increase the price?
a. An increase in demand. b. A decrease in demand. c. An increase in supply. d. A decrease in supply.
Economic growth is an exponential process because gains made in one year accumulate in future years.
Answer the following statement true (T) or false (F)
During 2016, Yolanda's assets equal $200,000 and her net worth is $50,000. Yolanda's liabilities are
A. $50,000. B. $150,000. C. $200,000. D. $250,000.