Which of the following is FALSE?
A)Increase production if MRMC
B)Produce where MR=MC
C)Average cost is total cost per unit of production
D)Produce where MR=AC

Question

​Which of the following is FALSE?
A)​Increase production if MR>MC
B)Produce where MR=MC
C)Average cost is total cost per unit of production
D)​Produce where MR=AC

Quizplus · Accepted Answer

The statement "Produce where MR=AC" is false, as the profit-maximizing target is where MR=MC. Average cost is the total cost per unit of production, and firms should increase production when marginal revenue exceeds marginal cost (MR>MC) to increase profits. So, the correct statement would be "Produce where MR=MC".

​Which of the Following Is FALSE

Which of the Following Is FALSE