If a Firm Has STC = 7q³ + 8q²

question 94

Multiple Choice

If a firm has STC = 7q³ + 8q² + 4, then SMC is:

• A)7q² + 8q + 4.
• B)7q³ + 8q².
• C)21q² + 16q.
• D)7q³ + 8q² + 4.

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Definitions:

Tax Revenue

The income that is gained by governments through taxation from individuals and businesses.

Federal Government

The national government of a federation, which holds authority over the political units constituting the federation, handling matters that affect the country as a whole.

Marginal Tax Rate

The rate at which the last dollar of income is taxed, indicating the percentage of additional income that is paid in taxes.

Personal Income Tax

A tax levied on individuals or households based on their total annual income from all sources.