Use the Figure to Answer the Following Question(s)

question 52

Multiple Choice

Use the figure to answer the following question(s) .
Figure 10-3
-What is the maximum economic profit this firm depicted in Figure 10-3 will be able to earn?

• A) zero
• B) $200
• C) $400
• D) $600

---

Definitions:

Market Demand

The total quantity of a good or service that all consumers in a market are willing and able to purchase at a given price.

Tax Revenue

Income that is gained by governments through taxation, used to fund public services and government obligations.

Demand Curve

A graphical representation of the relationship between the price of a good and the quantity demanded, typically downward sloping to the right.

Tax

Mandatory monetary contributions or taxes levied by a government on people or organizations to support government spending.