The figure above shows the demand and cost curves facing a price-setting firm. In profit-maximizing (or loss-minimizing) equilibrium, the price-setting firm earns ________ in total revenue, which is ________ the maximum possible total revenue of ________.
A. $8,000; equal to; $8,000
B. $8,000; more than; $7,500
C. $7,650; less than; $8,000
D. $7,500; less than; $8,000
E. $7,500; equal to; $7,500
Answer: D
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Which of the following statements describes economists' attitudes regarding the influence of social factors on the choices consumers make?
A) Economists believe social factors affect consumer choice in markets for public goods but not in markets for private goods. B) Liberal economists believe social factors are very important; conservative economists do not believe social factors have any influence on consumers. C) Economists traditionally believed they were unimportant, but many economists now believe social factors are important. D) Economists formerly believed they were very important but now they believe they are not important.
Suppose a farmer is a price taker for soybean sales with cost functions given by TC = .1q2 + 2q + 100 MC = .2q + 2 The firm's supply curve is given by
a. q = 5P - 10 b. q = .2P +2 c. q = 10P - 2 d. q = 2P - 5
What percentage of American workers now belong to labor unions?
a. less than 20 percent b. about 40 percent c. about 60 percent d. more than 80 percent
Long-term solutions to communitywide poverty must involve:
A. increasing the value of the currency. B. ways to expand the range opportunities available to the population. C. ways to reduce taxes collected by local governments. D. All of these are true.