Which of the Following Statements Best Expresses a Firm's Profit-Maximizing

question 46

Multiple Choice

Which of the following statements best expresses a firm's profit-maximizing decision rule?

• A)If marginal revenue is greater than marginal cost, the firm should increase its output.
• B)If marginal revenue is less than marginal cost, the firm should shut down in the short run.
• C)If marginal revenue equals marginal cost, the firm should produce exactly one more unit of output.
• D)All of the above are correct.

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Definitions:

Echinoderm

A phylum of marine animals known for their radial symmetry and unique water vascular system, including starfish and sea urchins.

Evolutionary Relationships

The connections among different species or organisms that can be traced back to a common ancestor, explored through genetics, physical characteristics, and other biological data.

Amniotes

Terrestrial vertebrates: reptiles, birds, and mammals; animals whose embryos are enclosed by an amnion.

Lungfish

A type of freshwater fish with the unique ability to breathe air using lungs, allowing them to survive in habitats with low oxygen levels.