In Figure 24.2,total profit at the profit-maximizing rate of output is
A)CDLK.
B)CDHG.
C)ABDLK.
D)GHLK.

Name: In Figure 24.2,total profit at the profit-maximizing rate of output is A)CDLK. B)CDHG. C)ABDLK. D)GHLK.
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Question

In Figure 24.2,total profit at the profit-maximizing rate of output is
A)CDLK. 
B)CDHG. 
C)ABDLK. 
D)GHLK.

Quizplus · Accepted Answer

The profit-maximizing rate of output is where MR=MC, which in this case is at point H. At this point, the total profit is CDHG. Therefore, the correct choice is B.