Claude's Copper Clappers Sells Clappers for $40 Each in a Competitive

question 194

Multiple Choice

Claude's Copper Clappers sells clappers for $40 each in a competitive price-taker market. At its present rate of output, Claude's marginal cost is $39, average variable cost is $25, and average total cost is $45. To improve his profit/loss situation, Claude should

• A) increase output
• B) reduce output but not to zero
• C) maintain the present rate of output
• D) shut down
• E) raise the price

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Cognitive processes that occur between the initial perception of a stimulus and the final response, involving aspects like memory and decision making.

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Relating to the body as opposed to the mind or emotions; involving or characterized by material substances or bodily activities.

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