Refer to the data provided in Table 9.4 below to answer the question(s) that follow.
Table 9.4qTFCTVCTCMCAVCATC0$100 $0$100 ---- -- 11004014040 40 140 21006016020 30 80 31009019030 30 63.334100124 224 343156 5100180 280 56 36 56 6100 264 364 84 44 60.677100 372 472 108 53.14 67.42Refer to Table 9.4. If the market price is $34 and the firm produces 4 units of output, then its profit would be
A. -$100.
B. -$88.
C. $0.
D. $36.
Answer: B
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If the nominal interest rate is less than the equilibrium nominal interest rate determined in the money market, then households and firms
A) are holding less money than they prefer. B) are holding more money than they prefer. C) expect real GDP to increase. D) expect the price level to increase. E) expect the nominal interest rate to decrease.
Private and state universities are substitutes. Which of the following would tend to increase the demand for state universities?
A) A fall in private university tuition B) An increase in private university tuition C) An increase in interest rates on student loans (a complementary good) D) Higher dorm fees at state universities
An excess burden is present when taxpayers alter their behavior on account of taxation.
Answer the following statement true (T) or false (F)
Compared to perfect competition, a monopoly will produce ________ output, and charge a ________ price
A) more; higher B) more; lower C) less; higher D) less; lower