If a potato farmer increases output and finds that total revenue increased less than total cost, then you know for sure that
A) profit had been maximized
B) the farmer should not have increased output
C) the farmer should produce even more output
D) the farmer suffers a loss
E) the farmer should have decreased output, not increased it

Question

Quizplus · Accepted Answer

If total revenue increased less than total cost, the farmer's profit decreased, indicating that increasing output was not beneficial.

If a Potato Farmer Increases Output and Finds That Total