-Refer to Figure 5

question 68

Multiple Choice

-Refer to Figure 5.6.Which diagram shows an increase in income with both bread and soup being normal goods?

• A) A
• B) B
• C) C
• D) D

---

Definitions:

Maximize Profit

The process or strategy employed by businesses to increase their net earnings or reduce costs to the greatest extent possible.

Marginal Revenue Curve

A graph that shows the additional revenue a firm earns from selling one more unit of a good or service.

Upward Sloping

A characteristic of a graph or curve that rises from left to right, indicating a positive relationship between two variables.

Perfectly Competitive Firm

A business operating in a market where no single firm can influence the market price or market conditions, facing many competitors and selling identical products.