Martha's Cleaning Services is a perfectly competitive firm that currently cleans 30 offices a week and charges $20 per office, which is the going market price. Martha's marginal cost is $15
What should Martha do to increase her economic profit? Clean more offices? Raise her price? Explain your answer.
Martha should increase the number of offices she cleans until her marginal cost equals the market price. This way she will maximize her profit. As a perfectly competitive firm, Martha is a price taker and cannot raise or lower her price without losing profit.
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A) explicit cost; explicit cost B) implicit cost; explicit cost C) explicit cost; implicit cost D) implicit cost; implicit cost
The instant runoff voting method is also known as a single transferrable vote system
Indicate whether the statement is true or false