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A Firm That Is Producing a Positive Quantity of Output

Question 9

Multiple Choice

A firm that is producing a positive quantity of output has a profit-maximizing rule that:


A) It will keep producing until MR is less MC for the next until of production.
B) It will keep producing provided MR > 0.
C) It will produce so as to minimize MC.
D) It will stop producing when MR exceeds MC.
E) None of the above.

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