At the current level of production,if the firm's MRMC,then the firm should
A)produce more
B)the company is maximizing profit at this output
C)producing less
D)None of the above

Question

At the current level of production,if the firm's MR>MC,then the firm should​
A)​produce more
B)the company is maximizing profit at this output
C)producing less
D)​None of the above

Quizplus · Accepted Answer

If the firm's MR>MC, it means that the marginal revenue earned from producing an additional unit of output is greater than the marginal cost of producing that unit. This indicates that the firm can increase its profit by producing more. Therefore, the best choice is to produce more.

At the Current Level of Production,if the Firm's MR>MC,then the Firm