This table shows price and quantity produced for a single firm in a perfectly competitive market.
Given the information in the table shown,what is the market price?

Question

This table shows price and quantity produced for a single firm in a perfectly competitive market. 
Given the information in the table shown,what is the market price?

Quizplus · Accepted Answer

In a perfectly competitive market, each firm is a price taker and has to sell its product at the market price. From the given table, we can see that at a quantity of 8, the firm is willing to supply at a price of $10, which means that the market price must be $10 for the firm to produce and sell that quantity. Thus, the correct answer is B) $10.

This Table Shows Price and Quantity Produced for a Single