The General Rule for Profit Maximization in a Firm Is

question 18

Multiple Choice

The general rule for profit maximization in a firm is to:

• A) set average cost at its minimum.
• B) reduce fixed costs by expanding output.
• C) maximize sales revenue.
• D) set marginal revenue to marginal cost.

---

Definitions:

Choice Set

A collection of all possible options available to a consumer or decision-maker.

Choice Set

A collection of all the possible options available for a consumer to choose from in making a decision.

Clothing

Fabrics and textiles used for making garments that are worn on the body.

Food

A substance consumed to provide nutritional support for an organism, typically consisting of plant, animal, or fungal origin.