A firm's profit equation demonstrates that profit equals _________, or _________.
A) Total cost + Total revenue; (Unit price x Quantity sold) -(Fixed cost + Variable cost)
B) Total revenue-Total cost; (Unit price x Quantity sold) -(Fixed cost + Variable cost)
C) Total cost-Marginal cost; (Fixed cost + Variable cost) /(Unit price x Quantity sold)
D) Total cost-Variable cost; (Fixed cost + Variable cost) + (Unit price x Quantity sold)
E) Total revenue + Total cost; (Unit price x Quantity sold) -(Fixed cost + Variable cost)
Correct Answer:
Verified
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