The figure given below shows the revenue and cost curves of a perfectly competitive firm. Figure 23.2
MC: Marginal cost curve
MR: Marginal revenue curve
ATC: Average-total-cost curve
AVC: Average-variable-cost curve
Refer to Figure 23.2.If the marginal-revenue curve would have intersected the average-total-cost curve at its lowest point and the firm maximized profit, then total revenue would have been equal to:
A) $500.
B) $550.
C) $600.
D) $450.
E) $400.
Correct Answer:
Verified
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