Carla's Candy Store is maximizing profits by producing 1,000 pounds of candy per day.If Carla's fixed costs unexpectedly increase and the market price remains constant,then the short run profit-maximizing level of output

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Quizplus · Accepted Answer

In the short run, fixed costs do not affect the profit-maximizing level of output because they do not change with the level of production. Therefore, Carla should continue producing 1,000 pounds to maximize profits.

Carla's Candy Store Is Maximizing Profits by Producing 1,000 Pounds