Based on the information shown, a perfectly competitive profit-maximizing firm would produce: $$\begin{array} { | c | c | c | }
\hline \text { Quantity } & \text { Total Cost } & \text { Tatal Revenue } \
\hline 10 & \$ 25 & 50 \
\hline 20 & 60 & 100 \
\hline 30 & 105 & 150 \
\hline 40 & 160 & 200 \
\hline
\end{array}$$

Question

Based on the information shown, a perfectly competitive profit-maximizing firm would produce: $$\begin{array} { | c | c | c | } 
\hline \text { Quantity } & \text { Total Cost } & \text { Tatal Revenue } \
\hline 10 & \$ 25 & 50 \
\hline 20 & 60 & 100 \
\hline 30 & 105 & 150 \
\hline 40 & 160 & 200 \
\hline
\end{array}$$

Quizplus · Accepted Answer

A perfectly competitive profit-maximizing firm will produce at the quantity where marginal cost equals marginal revenue. In this case, marginal cost is $5 per unit and marginal revenue is $5 per unit at a quantity of 30 units. Therefore, the firm will produce 30 units of output.

Based on the Information Shown, a Perfectly Competitive Profit-Maximizing Firm