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A Competitive Firm Maximizes Profit at the Output Level Where

Question 23

Multiple Choice

A competitive firm maximizes profit at the output level where:


A) the difference between price and average total cost is the largest.
B) the slope of the total revenue curve equals the slope of the total cost curve.
C) the average total cost equals marginal cost.
D) the marginal revenue exceeds marginal cost by the greatest amount.

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