If the firm is maximizing profits, total profit will be
A. -$160.
B. $160.
C. -$4.
D. $10.
B. $160.
You might also like to view...
If the federal funds rate is above the equilibrium federal funds rate, then the supply of reserves would be __________ than the demand for reserves and the banks would try to __________ reserves causing the federal funds rate to fall
A) greater than; lend B) greater than; borrow C) less than; lend D) less than; borrow
Answer the following statements true (T) or false (F)
1) In a successive monopoly structure, if distributor has a constant marginal cost, the wholesale demand curve will lie below the retail marginal revenue curve. 2) Vertical integration is not an economically sound decision in a successive monopoly situation. 3) Vertical integration of a monopoly and a perfectly competitive firm does not yield greater economic profit. 4) If double marginalization exists between an upstream firm and a downstream firm, the vertical integration of the two firms will generate more economic profit. 5) The wholesale demand for a monopoly retailer depends of the retailer's marginal revenue.
The higher the opportunity cost of doing something, the more likely it will be done
Indicate whether the statement is true or false
Assume that a consumer has a given budget or income of $12, and that she can buy only two goods, apples or bananas. The price of an apple is $1.50 and the price of a banana is $0.75. Refer to the information given above. If the consumer spent all of her
budget on just apples or just bananas, how many apples or bananas maximum would she be able to buy? A. 12 apples or 8 bananas B. 8 apples or 12 bananas C. 16 apples or 12 bananas D. 8 apples or 16 bananas