For a Certain Firm,the 100th Unit of Output That the Firm

question 460

Multiple Choice

For a certain firm,the 100th unit of output that the firm produces has a marginal revenue of $10 and a marginal cost of $7.It follows that the

• A) production of the 100th unit of output increases the firm's profit by $3.
• B) production of the 100th unit of output increases the firm's average total cost by $7.
• C) firm's profit-maximizing level of output is less than 100 units.
• D) production of the 99th unit of output must increase the firm's profit by less than $3.

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Definitions:

Directional

In hypothesis testing, directional refers to a hypothesis that specifies the direction of an expected difference or relationship (e.g., greater than, less than) between two groups or variables.

≠ Symbol

A mathematical symbol indicating that two values are not equal.

Two-tailed

A type of statistical test that is designed to consider both directions of effect or difference, allowing for the exploration of relationships in both positive and negative directions.

Alternative Hypothesis

The hypothesis that proposes a statistical significance exists or that there is an observed effect in a study.