If Marginal Revenue Is $10 and Marginal Costs Is $8

question 173

True/False

If marginal revenue is $10 and marginal costs is $8, the firm should increase its output.

---

Definitions:

SAM

Usually refers to Serviceable Available Market, which is the portion of the market that can be captured or served by a company.

SOM

Abbreviation typically for "Share Of Market," referring to the percentage of a market controlled by a particular company, product, or brand.

Sanity Checks

Quick, basic tests or analyses run to ensure that assumptions or results are rational and feasible.

Market Size

The total volume or value of sales within a defined market over a specific period of time.