A firm sees its marginal revenue increase by $20 and marginal cost increase by $15 when it produces its 1000th product.This implies
A) the production of the 1000th unit of output increases the firm's profit by $5.
B) The firm is past its profit maximizing output
C) We cannot say much on the profitability of the firm
D) Producing the 1000th item will in fact decrease the overall firm's profits.
Correct Answer:
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