Refer to the Accompanying Graph

question 42

Multiple Choice

Refer to the accompanying graph. If this firm is a price taker and the price of each unit of output is $15, then this firm should:

• A)produce 60 units of output.
• B)shut down in the short run.
• C)raise its price to increase its revenue.
• D)lower its output to decrease its marginal cost.

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Definitions:

Ego

In psychoanalytic theory, the part of the mind that mediates between the conscious and the unconscious and is responsible for reality testing and a sense of personal identity.

Executive

Pertains to high-level management roles in organizations, responsible for making major decisions and directing overall operations.

Personality

A combination of emotional, attitudinal, and behavioral response patterns of an individual that are characteristic over time and across situations.

Gratification

The state of being pleased or fulfilled.