-The Figure Above Shows the Market Demand Curve and the ATC

question 39

Multiple Choice

-The figure above shows the market demand curve and the ATC curve for a firm.If all firms in the market have the same ATC curve,the efficient scale for one firm is ________ units per hour.

• A) 2,000
• B) 4,000
• C) 8,000
• D) 6,000
• E) 10,000

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Definitions:

Foreign Tax Credit

A tax credit that allows taxpayers to offset income taxes paid to foreign governments against their U.S. tax liabilities, to avoid double taxation of the same income.

Earned Income Credit

The Earned Income Credit (EIC) is a refundable tax credit for low- to moderate-income working individuals and families, particularly those with children, to reduce poverty and encourage work.

Nonrefundable Credit

A tax credit that can only reduce a taxpayer’s liability to zero, but unlike refundable credits, any excess is not paid out to the taxpayer.

Adoption Credit

A tax benefit offered to taxpayers to offset some costs of legally adopting a child, which can reduce tax liability.