When choosing the production level for tomorrow you find that at an output of 100 units, the total variable costs are $20,000 and the average fixed cost is only $50 . If the market price is $200, you should:
a. b or e.
b. shut down.
c. produce more than 100 units.
d. produce fewer than 100 units.
e. produce where MC = MR.
a
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If the price level rises, there is
A) a leftward shift of the demand for money curve. B) an upward movement along the demand for money curve and the curve does not shift. C) a downward movement along the demand for money curve and the curve does not shift. D) no movement along the demand curve for money and the curve does not shift. E) a rightward shift of the demand for money curve.
When monetary policy becomes highly politicized, the policy tends to:
A. Become more effective at stabilizing the economy B. Lose any effect at all on the economy C. Become destabilizing, instead of promoting stability D. Lead to rising budget surpluses