-The Table Above Shows Output and Costs of Evan's Subs

question 31

Multiple Choice

-The table above shows output and costs of Evan's Subs, a typical perfectly competitive firm in a local market for sandwiches. Evan's fixed cost is $9 per hour. The current market price of a sandwich is $6. If Evan's sells the 5th sandwich, the marginal cost is ________ the marginal revenue, so the firm's profit ________.

• A) greater than; decreases
• B) greater than; increases
• C) less than; increases
• D) less than; decreases

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Definitions:

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A principle of peaceful protest and resistance to injustice without resorting to physical violence.

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A department of the government responsible for the enforcement of the law and administration of justice, typically within a country or state.