If marginal cost is increasing and is below marginal revenue, a profit- maximising firm should:
A) increase output
B) shut down
C) increase price
D) decrease output
Correct Answer:
Verified
Q36: The formula for average fixed costs is:
A)
Q37: Diminishing marginal returns implies:
A) decreasing average fixed
Q38: A firm is producing 100 units, which
Q39: A firm calculates that if it produces
Q40: The economist who was concerned that human
Q42: The law of diminishing returns:
A) applies only
Q43: Advances in logistics allow firms to decrease
Q44: The law of diminishing returns applies when:
A)
Q45: Which of the following is not a
Q46: Which statement is FALSE?
A) Fixed costs are
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