After Selling 1,000 Three-Ring Binders, Tony DiFulvio Realizes That the Marginal

question 61

Multiple Choice

After selling 1,000 three-ring binders, Tony DiFulvio realizes that the marginal revenue from selling the last binder was less than the marginal cost.From this we can conclude that

• A)Tony's business earns a short-run economic profit.
• B)Tony should shut down his business temporarily.
• C)Tony's profit fell after selling his 1,000th three-ring binder.
• D)Tony's profit would be greater if he sold an additional three-ring binder.

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Definitions:

Biological

Relating to the processes and substances that occur within living organisms.

Behavioral-evolutionary

Refers to the study and application of evolutionary psychology principles to understand the development and adaptation of human behavior.

Humanistic

This approach or philosophy emphasizes the importance of human values and dignity, often focusing on individual potential and personal growth.

Cognitive-behavioral

A therapeutic approach that aims to change patterns of thinking or behavior that are behind people’s difficulties, and so change the way they feel.