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La Super Rica Is a Taco Stand in Santa Barbara

Question 277

Multiple Choice

La Super Rica is a taco stand in Santa Barbara, California. It is popular with the locals and even the late Julia Child found the food delicious. If La Super Rica is currently producing where marginal revenue is greater than marginal cost, to increase its profit La Super Rica should


A) increase production.
B) decrease production.
C) not change its production because it is maximizing its profit.
D) Not enough information is given to determine what La Super Rica should do.

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