A firm's shutdown point is the quantity and price at which the firm's total revenue just equals its
A) total cost.
B) total variable cost.
C) total fixed cost.
D) marginal cost.
B
Economics
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What factor has the greatest influence on elasticity and inelasticity of supply?
a. profit b. labor c. time d. financing
Economics
A corporate executive makes the following statement – "The company must keep hiring more workers up to the point where the marginal productivity of the last worker we hire is zero. This way we can maximize the total productivity of the firm"
Critically evaluate this statement. Also comment on whether this is the correct objective function for the firm.
Economics