Figure 10-7
-Given the cost and demand conditions shown in Figure 10-7 for the competitive price-searcher firm, what price should it charge, and what quantity should it produce in order to maximize profit?
A) It should produce 10 units and charge a price of $5 per unit.
B) It should produce 10 units and charge a price of $8 per unit.
C) It should produce 10 units and charge a price of $10 per unit.
D) It should produce 18 units and charge a price of $7 per unit.

Question

Figure 10-7 
-Given the cost and demand conditions shown in Figure 10-7 for the competitive price-searcher firm, what price should it charge, and what quantity should it produce in order to maximize profit?
A) It should produce 10 units and charge a price of $5 per unit. 
B) It should produce 10 units and charge a price of $8 per unit. 
C) It should produce 10 units and charge a price of $10 per unit. 
D) It should produce 18 units and charge a price of $7 per unit.

Quizplus · Accepted Answer

The Answer of Figure 10-7 
-Given the cost and demand conditions shown in Figure 10-7 for the competitive price-searcher firm, what price should it charge, and what quantity should it produce in order to maximize profit?
A) It should produce 10 units and charge a price of $5 per unit. 
B) It should produce 10 units and charge a price of $8 per unit. 
C) It should produce 10 units and charge a price of $10 per unit. 
D) It should produce 18 units and charge a price of $7 per unit.

Figure 10-7 -Given the Cost and Demand Conditions Shown in Figure 10-7