If a Firm in a Perfectly Competitive Market Triples the Number

question 42

Multiple Choice

If a firm in a perfectly competitive market triples the number of units of output sold,then total revenue will

• A) more than triple.
• B) less than triple.
• C) exactly triple.
• D) Any of the above may be true depending on the firm's labor productivity.

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Definitions:

Axles

Mechanical components that connect wheels on opposite sides of a vehicle, transferring power from the drivetrain to the wheels for movement.

Freight Volume

The amount of goods, cargo, or freight being transported or capable of being transported.

Vocational

medium- and heavy-duty trucks used for specific work applications rather than linehaul. Examples would be dump trucks, milk tankers, fire trucks, cement trucks, cranes, fuel tankers, etc.

Countershafts

Secondary shafts in a gearbox that transmit motion from the main shaft to various gears, altering the output speed and torque.