A firm calculates that if it produces one more unit of output, the additional revenue will be less than the additional cost, the firm should:
A) produce the additional unit and increase the price for all units sold
B) shut down
C) not produce the additional unit
D) produce the additional unit
Correct Answer:
Verified
Q34: Total revenue divided by quantity is:
A) normal
Q35: Which of the following is not a
Q36: The formula for average fixed costs is:
A)
Q37: Diminishing marginal returns implies:
A) decreasing average fixed
Q38: A firm is producing 100 units, which
Q40: The economist who was concerned that human
Q41: If marginal cost is increasing and is
Q42: The law of diminishing returns:
A) applies only
Q43: Advances in logistics allow firms to decrease
Q44: The law of diminishing returns applies when:
A)
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