Inverse Demand Equation: P = 170 - 4Qd
Marginal Costs = $10
MR = 170 - 8Qd
-A perfectly-competitive firm would charge a price of:
A) $20
B) $10.
C) $100
D) 0

Name: Inverse Demand Equation: P = 170 - 4Qd Marginal Costs = $10 MR = 170 - 8Qd -A perfectly-competitive firm would charge a price of: A) $20 B) $10. C) $100 D) 0
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Question

Quizplus · Accepted Answer

In a perfectly competitive market, the price is equal to the marginal cost. Given that the marginal cost is $10, a perfectly-competitive firm would charge a price of $10.