A Firm Is Currently Operating Where the MC of the Last

question 94

Multiple Choice

A firm is currently operating where the MC of the last unit produced = $84, and the MR of this unit = $70. What would you advise this firm to do?

• A) Shut down.
• B) Increase output.
• C) Stay at its current output.
• D) Decrease output.
• E) Decrease price.

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Definitions:

Central Chemoreceptors

Sensory receptors located in the central nervous system that primarily detect changes in the acidity (pH) of cerebrospinal fluid.

Medulla Oblongata

The lower portion of the brainstem, controlling vital bodily functions such as breathing, heart rate, and blood pressure.

Carbon Dioxide

A colorless, odorless gas produced by burning carbon and organic compounds and by respiration. It is naturally present in air and is absorbed by plants in photosynthesis.

Hydrogen Ions

Positively charged ions (H+) formed when hydrogen atoms lose their electrons, significantly influencing the pH of solutions.