18. In order to profit maximize, if this firm faces a price of $10, the number of units it will produce per day in the short run is: A) 0 B) 1 C)2 D) 3 E) 4 F) 5 G) 6 H) 7 I) 8 J) 10
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Related questions
QUESTION 17
[Table 2] This firm will maximize its profit if it produces at the point when:
| a. | Profit is maximized. | |
| b. | Total revenue is maximized. | |
| c. | Total Cost is minimized. | |
| d. | All of the above | |
| e. | None of the above |
4 points
QUESTION 18
[Table 2] This firm will maximize its profit if it produces at the point when:
| a. | Profit is maximized. | |
| b. | Marginal cost is equal to marginal revenue | |
| c. | Firm cannot be better off by producing more or less quantity | |
| d. | A quantity of 13 units | |
| e. | All of the above |
4 points
QUESTION 19
[Table 2] This firm will maximize its profit if it produces the following quantity:
Table 2
| -1 | -2 | -3 | -4 | -5 | -6 | -7 |
| Quantity Sold | Marginal Revenue | Marginal | Total | Total | Profit | |
| Price | Cost | Cost | Revenue | |||
| $10 | 10 | 80 | $100 | $20 | ||
| $10 | 11 | (A) | 8 | 88 | $110 | $22 |
| $10 | 12 | (B) | (E) | 97 | (G) | (I) |
| $10 | 13 | (C) | (F) | 107 | (H) | (J) |
| $10 | 14 | (D) | 11 | 118 | $140 | $22 |
| a. | $9 | |
| b. | $10 | |
| c. | $11 | |
| d. | $13 | |
| e. | $14 |
4 points
QUESTION 20
[Table 2] If price increases from $10 to $11, this firm will maximize its profit if it produces the following quantity:
Table 2
| -1 | -2 | -3 | -4 | -5 | -6 | -7 |
| Quantity Sold | Marginal Revenue | Marginal | Total | Total | Profit | |
| Price | Cost | Cost | Revenue | |||
| $10 | 10 | 80 | $100 | $20 | ||
| $10 | 11 | (A) | 8 | 88 | $110 | $22 |
| $10 | 12 | (B) | (E) | 97 | (G) | (I) |
| $10 | 13 | (C) | (F) | 107 | (H) | (J) |
| $10 | 14 | (D) | 11 | 118 | $140 | $22 |
| a. | $9 | |
| b. | $10 | |
| c. | $11 | |
| d. | $12 | |
| e. | $14 |
4 points
QUESTION 21
A perfectly competitive firm should increase its level of production as long as
| a. | total revenue is less than total cost. | |
| b. | the total revenue curve is rising. | |
| c. | marginal revenue is greater than marginal cost. | |
| d. | the marginal revenue curve is rising. |
