Exhibit 24-8

-Refer to Exhibit 24-8. The maximum profits earned by a monopolistic competitive firm will be
A)$0.
B)$300.
C)$350.
D)$80.

Question

Exhibit 24-8
 
-Refer to Exhibit 24-8. The maximum profits earned by a monopolistic competitive firm will be
A)$0. 
B)$300. 
C)$350. 
D)$80.

Quizplus · Accepted Answer

The maximum profits earned by a monopolistic competitive firm will be $350. This is because the firm will produce at the point where marginal cost equals marginal revenue, and at this point, the firm will be earning a profit of $350.

Exhibit 24-8 -Refer to Exhibit 24-8. the Maximum Profits Earned by a Profits