The Table Given Below Shows the Prices Charged and Marginal

question 4

Multiple Choice

The table given below shows the prices charged and marginal cost incurred by a monopolist for different units of the output. Table 24.3
Assume that the firm described in Table 24.2 is incurring a total cost of $7, 000 at the profit-maximizing output level.The firm will

• A)lose $10, 000 in the short run.
• B)break even.
• C)earn a profit of $3, 800.
• D)earn a profit of $3, 500.
• E)earn a profit of $5, 500.

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