-The Figure Above Shows the Demand and Cost Curves for a Single-Price

question 460

Multiple Choice

-The figure above shows the demand and cost curves for a single-price monopoly. Which of the following statements is FALSE?

• A) To maximize its profit, the firm will set marginal revenue equal to zero by producing 12.5 units.
• B) The firm will make an economic profit.
• C) The firm is a not a natural monopoly.
• D) The firm will set price where demand is elastic.

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Definitions:

Cancer

A group of diseases characterized by the uncontrolled growth and spread of abnormal cells in the body.

Heart Attacks

A medical condition caused by the blockage of blood flow to the heart muscle, often resulting in chest pain and potentially fatal if not treated promptly.

Stroke

A medical emergency involving the interruption of blood supply to a part of the brain, causing cell damage and possibly resulting in loss of functions.

Carbohydrates

Organic substances such as sugars, starches, and fibers, which are vital energy sources in our diet.