For Any Given Price, a Firm in a Competitive Market

question 295

Multiple Choice

For any given price, a firm in a competitive market will maximize profit by selecting the level of output at which price intersects the

• A)average total cost curve.
• B)average variable cost curve.
• C)marginal cost curve.
• D)marginal revenue curve.

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Definitions:

Dividends

Payments made by a corporation to its shareholder members, usually derived from the company's profits.

Declaration Date

The Declaration Date is the date on which a company's board of directors announces its next dividend payment, specifying the dividend's size, ex-dividend date, and payment date.

Dividend

A portion of a company's earnings that is paid to shareholders, usually on a quarterly basis, as a reward for owning the stock.