Use the Following to Answer Questions

question 279

Multiple Choice

Use the following to answer questions:
-(Table: Demand for Solar Water Heaters) Look at the table Demand for Solar Water Heaters. The marginal cost of producing solar water heaters is zero, and only two firms, Rheem and Calefi, produce them. Suppose they agree to produce only 25 water heaters each. By how much does Rheem's profit rise if it cheats on the agreement and produces 30 water heaters?

• A) $3,000
• B) $2,700
• C) $2,000
• D) $5,000

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Definitions:

Bank Representative

An employee of a bank who assists customers with their accounts, loans, and other financial products and services.

Averageness

A characteristic of physical traits that through blending of multiple features results in a lack of distinctive characteristics, often correlated with attractiveness.

Attractive Face

Features or qualities of a face that are aesthetically pleasing and evoke physical or emotional attraction in others.

Unique Features

Distinctive characteristics or attributes that set an item or individual apart from others.