Exhibit 22-8

Refer to Exhibit 22-8. What is the total revenue of Firm A at the profit-maximizing (or loss-minimizing)level of output?

Name: Exhibit 22-8 Refer to Exhibit 22-8. What is the total revenue of Firm A at the profit-maximizing (or loss-minimizing)level of output?
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Question

Exhibit 22-8 ​

Refer to Exhibit 22-8. What is the total revenue of Firm A at the profit-maximizing (or loss-minimizing)level of output?

Quizplus · Accepted Answer

At the profit-maximizing level of output, Firm A produces 5 units, where MR=MC. The price at this output level is $200, so the total revenue of Firm A is:
TR = P x Q
TR = $200 x 5
TR = $1,000

Exhibit 22-8 ​ Refer to Exhibit 22-8. What Is the Total Revenue of the Total

Exhibit 22-8 Refer to Exhibit 22-8. What Is the Total Revenue of the Total