Along an isoprofit curve,
A) the difference between total costs and total revenues is constant.
B) the firm's level of safety is constant.
C) the firm's level of wages is constant.
D) the firm's safety costs are constant.

Question

Quizplus · Accepted Answer

Along an isoprofit curve, the firm earns the same level of profit. Therefore, the difference between total costs and total revenues must be constant as any change in one will result in a change in the other to maintain the same level of profit.

Along an Isoprofit Curve