Suppose That a Firm Operating in Perfectly Competitive Market Sells

question 428

Multiple Choice

Suppose that a firm operating in perfectly competitive market sells 200 units of output at a price of $3 each. Which of the following statements is correct? i) Marginal revenue equals $3.
Ii) Average revenue equals $600.
Iii) Average revenue exceeds marginal revenue, but we don't know by how much.

• A) i) only
• B) iii) only
• C) i) and ii) only
• D) i), ii), and iii)

---

Definitions:

Swallowing Medications

The act of ingesting drugs by mouth to achieve a therapeutic effect.

Difficulty Swallowing

The sensation that it is hard to swallow food or liquids, medically known as dysphagia.

Abdominal Ascites

The accumulation of fluid in the peritoneal cavity, causing abdominal swelling, often related to liver disease or cancer.

Fibroid Tumors

Benign uterine tumors that commonly emerge during the years a woman can bear children.