Refer to Figure 13-10. to answer the following questions
a. What is the profit-maximizing output level?
b. What is the profit-maximizing price?
c. At the profit-maximizing output level, how much profit will be realized?
d. Does this graph most likely represent the long run or the short run? Why?
a. The profit-maximizing output level is 22.
b. The profit maximizing price is $16.
c. The profit is $88.
d. Since the firm is making a profit, this most likely represents the short run.
You might also like to view...
If an airport decides to expand by building an additional passenger terminal, and in doing so it lowers its average cost per airplane landing, then the expansion would provide ________ to the airlines
A) higher marginal costs but lower total costs B) higher average costs but lower total costs C) economies of scale D) diseconomies of scale
Which of the following was never a labor union?
a. American Federation of Labor b. Labor Relations Board c. Congress for Industrial Organization d. Knights of Labor