Suppose a Manager Views Both Quantity and Profit as "Goods

question 12

Multiple Choice

Suppose a manager views both quantity and profit as "goods." Such a manager will then have an indifference curve that:

• A) is tangent to the profit curve somewhere between quantities of 0 and 2.5.
• B) is tangent to the profit curve somewhere between quantities of 2.5 and 5.
• C) intersects the profit curve at a quantity exactly equal to 2.5.
• D) intersects the profit curve at a quantity exactly equal to 5.

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