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The Amount of a Given Input Demanded by a Firm

question 23

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The amount of a given input demanded by a firm depends on the:


Definitions:

Marginal Profit

The additional profit earned from selling one more unit of a product or service.

Marginal Revenue

The incremental profit made from the sale of an additional unit of a good or service.

Marginal Cost

The increment in overall expenses due to the output of one more unit of a product or service.

Marginal Revenue

The augmented income received from selling an extra unit of a good or service.

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