Exhibit 8-11
-In Exhibit 8-11, total cost at the profit-maximizing output level is shown by area

Name: Exhibit 8-11 -In Exhibit 8-11, total cost at the profit-maximizing output level is shown by area
Brand: Quizplus
Rating: 4.9 (37 reviews)

Question

Exhibit 8-11 
-In Exhibit 8-11, total cost at the profit-maximizing output level is shown by area

Quizplus · Accepted Answer

The profit-maximizing output level is where marginal cost (MC) equals marginal revenue (MR). At this level, the total cost is shown by the area under the marginal cost curve up to the quantity produced. This is represented by the triangle mfz0 in Exhibit 8-11. Therefore, the correct answer is C) mfz0.

Exhibit 8-11 -In Exhibit 8-11, Total Cost at the Profit-Maximizing Output Level