Charlene sells cotton candy.The cotton candy industry is competitive.Charlene hires a business consultant to analyze her company's financial records.The consultant recommends that Charlene increase her production.The consultant must have concluded that Charlene's

Question

Quizplus · Accepted Answer

The consultant recommended increasing production, which suggests that adding additional units of output would provide a positive contribution to total revenue. This means that marginal revenue exceeds marginal cost, as each additional unit sold will bring in more revenue than it costs to produce.

Charlene Sells Cotton Candy