Suppose you were working for Richstone's bakery and calculating whether the bakery was making a profit, considering the recent increase in rent. You have data for price (P), MR, ATC, MC, AVC, at the quantity of 1,000 breads a day. Among the other relationships you consider is (P – ATC) which measures the firm's
a. total profit
b. profit per unit of output
c. marginal profit
d. total revenue
e. average variable cost
B
Economics
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What is the main purpose of an interest payment? What major factors affect interest rates?
What will be an ideal response?
Economics
Linda earned an income of $3,000 per month, which has now increased to $3,500 per month. She saves 10 percent and spends the remainder on food, lodging and other expenses. So far, she has managed to save $20,000. What is her marginal propensity to save (MPS)?
What will be an ideal response?
Economics