Table 95 Table 95 Shows the Demand and Cost Data Facing a Monopolistically

question 341

Multiple Choice

Table 9.5
$$\begin{array} { | c | c | c | } \hline \text { Quantity } & \begin{array} { c } \text { Price } \\\text { (dollars) }\end{array} & \begin{array} { c } \text { Total Cost } \\\text { (dollars) }\end{array} \\\hline 1 & 18 & 14 \\\hline 2 & 16 & 20 \\\hline 3 & 14 & 26 \\\hline 4 & 12 & 32 \\\hline 5 & 10 & 38 \\\hline 6 & 8 & 44 \\\hline\end{array}$$ Table 9.5 shows the demand and cost data facing a monopolistically competitive producer of canvas bags.
-Refer to Table 9.5.At the profit-maximising or loss-minimising output level ________.

• A) the firm makes a profit of $12
• B) the firm incurs a loss equal to its fixed cost
• C) the firm makes a profit of $16
• D) the firm incurs a loss of $14

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Definitions:

Illegal Drug

Substance whose production, sale, or possession is prohibited by law.

Judgment

The ability to make considered decisions or come to sensible conclusions.

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The organization of different elements or activities to ensure effective working together to achieve a common purpose or outcome.

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Substances or chemicals defined by law as having no accepted medical use and a high potential for abuse.