In order to maximize profits
A) the derivative of total revenue with respect to quantity must be less than the derivative of total cost with respect to quantity.
B) the derivative of total revenue with respect to quantity must be greater than the derivative of total cost with respect to quantity.
C) the derivative of total revenue with respect to quantity must equal the derivative of total cost with respect to quantity.
D) none of these choices.
C
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Bicycle helmet laws are designed to reduce the severity of injuries resulting from bicycle involvement in traffic accidents. In this sense, the helmet laws are reducing ________ of risky behavior
A) positive externalities B) negative externalities C) transactions costs D) the efficiency
Aimee sells hand-embroidered dog apparel over the Internet. Her annual revenue is $128,000 per year, the explicit costs of her business are $42,000, and the opportunity costs of her business are $30,000. What is her accounting profit?
A) $12,000 B) $56,000 C) $86,000 D) $98,000