Hannah's Harmonicas Sells 1,000 Harmonicas Each Month at a Price

question 21

Multiple Choice

Hannah's Harmonicas sells 1,000 harmonicas each month at a price of $10.00 each.(She could sell as many as she wishes at that price. ) If the marginal cost of producing an additional harmonica is $9.60,then

• A)Hannah should produce additional harmonicas
• B)Hannah could possibly reduce her profits by producing one additional harmonica
• C)Hannah must currently be maximizing her profits
• D)too many harmonicas are being produced,from society's point of view
• E)Hannah's total economic profit is $400 per month

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Definitions:

Categories

A method of organizing knowledge or objects based on shared characteristics or themes.

Canary

A bird often associated with historical coal mining practices as an early warning system for toxic gases.

Algorithms

A step-by-step procedure or set of rules to be followed in calculations or problem-solving operations, especially by a computer.

Mechanical

Pertaining to objects, machines, or systems that operate or are produced by machinery and physical parts, often contrasted with electronic or digital.