Suppose at the current level of labor used, MRP = $100 and MFC = $100. To maximize profits, the firm should

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At the current level of labor, MRP ($100) is equal to MFC ($100), indicating that the firm is already maximizing profit. Therefore, there is no need to hire more labor or reduce the level of labor. Shutting down is not necessary either, as the firm is already earning a profit at the current level of labor. Thus, the best choice is to maintain the current level of labor.

Suppose at the Current Level of Labor Used, MRP =