Use the Following to Answer Questions

question 4

Multiple Choice

Use the following to answer questions:
Figure: The Profit-Maximizing Output and Price
-(Figure: The Profit-Maximizing Output and Price) Look at the figure The Profit-Maximizing Output and Price. Assume that there are no fixed costs and AC = MC = $200. At the profit-maximizing output and price for a monopolist, consumer surplus is:

• A) $0.
• B) $600.
• C) $1,000.
• D) $1,600.

---

Definitions:

Cooperatives

A type of organization owned and operated by a group of individuals for their mutual benefit.

Sole Proprietorship

A business owned and operated by a single individual, with no legal distinction between the owner and the business entity.

Limited Liability

A corporate structure where an individual's financial risk in the business is restricted to their investment in the company.