If a graph is used to compare total revenue and total cost of a perfectly competitive firm, then the horizontal axis of the graph will represent the _______ and the vertical axis will represent _______.
A) price, measured in dollars; quantity of goods produced
B) total costs measured in dollars; quantity of goods produced
C) quantity produced; both total revenue and total costs, measured in dollars.
D) quantity produced; total revenue and total variable costs, measured in dollars.
Correct Answer:
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