For a Perfectly Competitive Firm,profit Is Maximized at the Output

question 78

Multiple Choice

For a perfectly competitive firm,profit is maximized at the output level where
i.total revenue exceeds total cost by the largest amount.
ii.marginal revenue equals marginal cost.
iii.price equals marginal cost.

• A) i only
• B) ii only
• C) ii and iii
• D) i and ii
• E) i, ii, and iii

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Definitions:

Bank Statement Adjustment

Refers to the changes or corrections made to the balance shown on a bank statement to reconcile it with the company's accounting records.

Company Books Adjustment

The process of making changes to the accounting records of a company to correct errors or reflect updated information.

Internal Control

Internal control comprises the procedures and measures a company undertakes to protect assets, ensure accurate financial reporting, and comply with laws and regulations.

Reasonable Assurance

This concept refers to a high level of assurance or confidence in the accuracy of financial statements and internal controls without guaranteeing 100% certainty.