Answer the Question Based on the Table Below

question 82

Multiple Choice

Answer the question based on the table below. At what point on the table would a purely competitive firm cover all of its costs and earn only normal profits?

• A) Q = 5
• B) Q = 10
• C) Q = 15
• D) Q = 20 At Q = 15,total costs are $25 + $50 = $75 and total revenues are 15 * $5 = $75.This gives a profit of 0,which is a normal profit but not an economic profit.

---

Definitions:

Foreign-Currency Exchange

The exchange of currencies from various countries against one another.

Net Exports

The value of a country's total exports minus its total imports, representing the net spending on domestic goods and services by the rest of the world.

National Saving

The total amount of saving in a country, equal to the sum of private saving and public saving (or government surplus).

Domestic Investment

Domestic Investment involves the total spending on capital within a country, which includes the purchase of capital goods and investments in buildings and infrastructure.