Profit maximization occurs when:
A. total costs equals average fixed revenue
B. average variable costs are larger than average total costs
C. total costs equal total variable costs
D. marginal variable costs equal average revenues
E. marginal revenue equals marginal cost
Answer: E
You might also like to view...
Corporations are incapable of having the mens rea necessary to commit a crime and thus cannot
be held criminally liable. Indicate whether the statement is true or false
If most, but not all, of the obligations of a contract have been finished the contract is considered in breach until completed
a. True b. False Indicate whether the statement is true or false
A tariff which imposes a fixed tax on each unit of a product is known as a(n):
a. fixed tariff b. duty tariff c. specific tariff d. ad valorem tariff e. percentage tariff
Use the following financial information to find the entry you would make on an income statement for COST OF GOODS SOLD for the year ended December 31, 2011: Gross Sales, $241,000; Sales Returns and Allowances, $5,200; Sales Discounts, $1,000; Merchandise Inventory, January 1, 2011, $62,900; Merchandise Inventory, December 31, 2011, $70,200; net purchases, $95,800; Freight In, $525; Salaries,
$93,200; Rent, $17,900; Utilities, $1,125; Insurance, $2,025; and Income Tax, $16,950. A) $159,225 B) $70,200 C) $89,025 D) $114,250