Table 8.1 Table 8.1 shows the short-run cost data of a perfectly competitive firm that produces plastic camera cases.Assume that output can only be increased in batches of 100 units.
-Refer to Table 8.1.If the market price of each camera case is $8, the profit-maximising quantity is
A)300 units
B)400 units
C)500 units
D)600 units

Question

Table 8.1  Table 8.1 shows the short-run cost data of a perfectly competitive firm that produces plastic camera cases.Assume that output can only be increased in batches of 100 units.
-Refer to Table 8.1.If the market price of each camera case is $8, the profit-maximising quantity is
A)300 units 
B)400 units 
C)500 units 
D)600 units

Quizplus · Accepted Answer

At a market price of $8, the profit-maximizing quantity is where marginal cost (MC) equals the market price. Without the specific details from Table 8.1, we typically find the quantity where MC equals the given price in such scenarios. Assuming Table 8.1 provides the necessary details, the correct answer is inferred based on standard economic principles.

Table 81 Table 8