-The profit maximizing condition for any competitive firm is
A) MR = P.
B) MC = MR.
C) P = ATC.
D) None of the above answers is correct because each type of competitive firm has a different condition of maximizing its profit.

Question

-The profit maximizing condition for any competitive firm is
A) MR = P. 
B) MC = MR. 
C) P = ATC. 
D) None of the above answers is correct because each type of competitive firm has a different condition of maximizing its profit.

Quizplus · Accepted Answer

In a competitive market, firms maximize profit where marginal cost (MC) equals marginal revenue (MR).

-The Profit Maximizing Condition for Any Competitive Firm Is