Under What Circumstances Will a Profit-Maximizing Firm That Is Operating

question 17

Multiple Choice

Under what circumstances will a profit-maximizing firm that is operating in the short run sell an additional unit of output?

• A) as long as doing so reduces the firm's per-unit costs
• B) as long as doing so adds more to revenue than it adds to cost
• C) as long as there is additional plant capacity with which to produce
• D) as long as doing so reduces the firm's marginal costs

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