Table 132 Onawy Inc Has Been Granted a Patent for Its Birch Root

question 86

Multiple Choice

Table 13.2
$\begin{array}{|c|c|c|}\hline \text { Price per Dose } & \begin{array}{c}\text { Quantity } \\\text { Demanded } \\\text { (dose) }\end{array} & \begin{array}{c}\text { Total Cost of } \\\text { Production } \\\text { (dollars) }\end{array} \\\hline \$ 80 & 0 & \$ 80 \\\hline 72 & 1 & 82 \\\hline 64 & 2 & 88 \\\hline 56 & 3 & 100 \\\hline 48 & 4 & 124 \\\hline 40 & 5 & 164 \\\hline 32 & 6 & 208 \\\hline 24 & 7 & 268 \\\hline 16 & 8 & 340 \\\hline\end{array}$
Onawy Inc. has been granted a patent for its birch root toothache balm. Table 13.2 shows the demand and the total cost schedule for the firm.
-Refer to Table 13.2.What is Onawy's profit-maximizing output?

• A)4 units
• B)5 units
• C)6 units
• D)7 units

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Definitions:

Unconditioned Response

An automatic and involuntary reaction to a stimulus that occurs naturally, without any prior learning.

Classical Conditioning

A behavioral training method where the consistent pairing of two stimuli results in a response originally elicited by the second stimulus being ultimately elicited by the first stimulus.

Unconditioned Stimuli

Stimuli that naturally and automatically trigger a response without any prior learning.

Conditioned Stimuli

Stimuli that have become associated with a particular response through conditioning, typically in the context of classical conditioning.